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Nvidia delays launch of new AI chip in China amid US export rules

Livemint

Livemint · 1y ago

Nvidia delays launch of new AI chip in China amid US export rules

Nvidia has reportedly notified its Chinese customers about a delay in the release of its new AI chip, known as H20, due to tightened US export regulations. The chip was initially expected to launch on November 16 but has been rescheduled for the first quarter of next year, potentially impacting Nvidia's competitiveness in China. The delay is attributed to challenges faced by server manufacturers in integrating the H20 chip into their systems. Nvidia's reliance on these chips to maintain its market presence in China has become crucial after being restricted from shipping products to the country.

Related News

Nvidia releases slower, less powerful AI chip for China

Business Insider

Business Insider · 1y ago

Nvidia releases slower, less powerful AI chip for China

Nvidia, the leading chipmaker, has introduced a new gaming processor called RTX 4090 D that complies with US export rules and can be sold in China. The stripped-back chip offers less advanced capabilities compared to the original 4090 chip, but it may help Nvidia maintain its dominance in China's $7 billion AI chip market. Nvidia has been working closely with the US government to create products that comply with regulations, but previous modifications to chips for the Chinese market have been added to the list of banned technology by the US government.

Trump to meet with Nvidia CEO on Friday: Report

Economic Times

Economic Times · 7m ago

Trump to meet with Nvidia CEO on Friday: Report

U.S. President Donald Trump is set to meet Nvidia CEO Jensen Huang at the White House amid discussions on restricting AI chip sales to China. The meeting aligns with potential new U.S. rules limiting AI chip exports to preserve advanced computing power among allies. Concerns about China's advancing AI capabilities are rising, especially following the successful launch of China's AI assistant, DeepSeek. Discussions are ongoing on tightening restrictions on Nvidia's H20 chips designed for China.

Nvidia's China restart faces production obstacles: The Information report - The Economic Times

Economic Times

Economic Times · 2m ago

Nvidia's China restart faces production obstacles: The Information report - The Economic Times

Nvidia is facing production challenges in restarting its H20 chip sales to China due to US export restrictions. After an April ban led to order and manufacturing capacity cancellations, Nvidia plans to resume sales but requires US approval for export licenses. Limited chip availability was informed to Chinese customers. The shift of production lines at Taiwan Semiconductor means creating new chips could take nine months. Nvidia is also developing a compliant RTX Pro GPU for China.

Everyone’s rattled by the rise of DeepSeek—except Nvidia, which enabled it

Livemint

Livemint · 7m ago

Everyone’s rattled by the rise of DeepSeek—except Nvidia, which enabled it

Nvidia has been navigating U.S.-China tensions while continuing to sell AI chips in China. Amid rising export restrictions aimed at limiting China's AI capabilities, Nvidia adapted by developing modified chips compliant with U.S. rules, sparking frustrations in Washington. Despite potential risks, Nvidia views long-term engagement with China as essential for maintaining its market leadership. The company's strategy included lobbying against new regulations, even as debates intensified over balancing business interests and national security concerns.

Huawei plays coy on AI chips.

The Verge

The Verge · 3m ago

Huawei plays coy on AI chips.

Huawei's founder, Ren Zhengfei, has downplayed the company's progress in AI chip development, stating their Ascend chips are a generation behind US competitors like Nvidia. This modest stance comes amid US concerns over Huawei's AI capabilities, which have prompted regulatory measures to protect domestic interests. As US-China negotiations on export controls continue, Huawei strategically underplays its chipmaking ability in the public eye.

Nvidia’s H800 AI chip for China is blocked by new export rules

The Verge

The Verge · 1m ago

Nvidia’s H800 AI chip for China is blocked by new export rules

The U.S. has implemented new rules blocking the export of AI chips to China, closing loopholes in previous restrictions. This affects Nvidia, which had introduced the H800 chip to bypass earlier restrictions. Despite this, Nvidia expects no significant immediate financial impact. The Semiconductor Industry Association warns that unilateral controls might harm U.S. interests. Meanwhile, China criticizes the move as destabilizing. Intel is assessing the impact, and AMD has not commented yet.

US senators warn Nvidia CEO about upcoming China trip - The Economic Times

Economic Times

Economic Times · 2m ago

US senators warn Nvidia CEO about upcoming China trip - The Economic Times

Two U.S. senators, Jim Banks and Elizabeth Warren, have cautioned Nvidia CEO Jensen Huang against meeting Chinese firms potentially undermining U.S. chip export controls during his China trip. They urged him to avoid companies linked to China's military and intelligence bodies. Nvidia plans cheaper AI chips for China. Concerns persist over Nvidia's role in strengthening China's AI industry and circumventing U.S. controls, amid tensions over advanced AI export regulations.

Nvidia chief says H20 chip shipments to China not a security concern - The Economic Times

Economic Times

Economic Times · 26d ago

Nvidia chief says H20 chip shipments to China not a security concern - The Economic Times

Nvidia's H20 chip shipments to China are not considered a security threat, according to CEO Jensen Huang. Although the U.S. restricts cutting-edge chip exports to China over military use concerns, the H20, a less powerful AI chip, is deemed safe for export. Nvidia reassured the Chinese government about the chip's security, stating it contains no backdoors. The company is in discussions with the U.S. about developing a new chip for China, amid ongoing trade tensions.

Nvidia CEO in Taipei to visit TSMC, says in talks with US over new China chip - The Economic Times

Economic Times

Economic Times · 26d ago

Nvidia CEO in Taipei to visit TSMC, says in talks with US over new China chip - The Economic Times

Nvidia CEO Jensen Huang visited Taipei to meet chip foundry partner TSMC amid US-China tensions over AI chips. Nvidia is in talks with the US about introducing the B30A chip to China, succeeding the H20. Although permission was granted for H20 sales after restrictions, security concerns arose in China. Nvidia has paused H20 production and is assessing its supply chain, as both governments negotiate chip sales and security implications.

Nvidia's sales fell 'significantly' in China — but it's still shipping chips to the country

Business Insider

Business Insider · 1y ago

Nvidia's sales fell 'significantly' in China — but it's still shipping chips to the country

Nvidia's data center revenue surged due to the increasing adoption of their chips for AI models, but their revenue in China declined significantly following US export control regulations. However, Nvidia is still selling alternative chip versions that don't require a US license for export to China, enabling them to compete in the Chinese AI chip market. The company reconfigured its products to comply with the regulations and has started sampling them to customers. While the current quarter's performance in China will remain stable, Nvidia aims to compete and regain its business in the region going forward.

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