eh, was this one actually even a major player? its not like it's SMIC. They fucked up and may be allowed to fail rather than shoveling them more money:

The company had failed to fulfill terms agreed upon in a previous funding round, following which its shareholders filed a lawsuit that led to the freezing of its bank account, TMTPost reported.

edit: okay it was a significant player in the nascent domestic GPU space. And it has not fully collapsed, it has retained core R&D staff. I don't think this is make or break for china even in this one space