Haha, would be super cool if it is happening. Wouldn't they need to have some kind of an internet to mine bitcoins or are they only embedding it in smart devices which have an active internet ?
It would be really super cool to see this happening. About that, I think they also plan to embed bitcoin mining chips on appliances that are used in houses daily but I dont know how it will get an internet access. It is said in the site linked by OP that "Once the chips are programmed, the products will then connect to a cloud-based service and contribute their hashing power to mine cryptocurrencies" so maybe it would have some kind of program to connect to the internet by itself.
This is indeed an advance technology and it can be made into reality by the Chinese people as they are super technology experts and they have resourses , manpower and skills to produce such things which other might only dream. Programmable chips for mining in daily life appliances which not only make appliances more worth but also profitable for every one.