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Microsoft Reportedly Plans to Shift Major New Product Manufacturing Out of CN Starting 2026
Microsoft (MSFT.US) instructed several suppliers to prepare for shifting the manufacturing processes of most new products, including Surface laptops and data center servers, out of...
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Microsoft Reportedly Plans to Shift Major New Product Manufacturing Out of CN Starting 2026
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Microsoft (MSFT.US)      instructed several suppliers to prepare for shifting the manufacturing processes of most new products, including Surface laptops and data center servers, out of China as early as next year, including key components and assembly, Nikkei Asia quoted sources as saying.

Microsoft has already moved most of its server production out of China since last year due to the sensitivity of server products, the report said. Sources further stated that Microsoft required at least 80% of the materials for server production to come from regions outside China.

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Meanwhile, Microsoft is also promoting the production of more Xbox videogame consoles outside China, although it has not yet mandated a complete shift of production out of China.

Amazon Web Services (AWS) is adopting a non-China production strategy, especially for AI data center servers, the report added. The company is even evaluating the feasibility of reducing procurement from long-term supplier SHENGYI ELECTRONICS (688183.SH)  -3.710 (-5.119%)   , even though the company offers non-China production options.
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