US Regulators Restricts Nvidia's AI Chip Exports to China
The U.S. is reportedly imposing a new regulation on top chip maker Nvidia, ordering it to stop the export of certain chips to China, as part of its ongoing efforts to curb Chinese technological advancements.
According to Reuters, the restriction affects Nvidia's A100 and H100 chips, which are artificial intelligence accelerators that are used in high-performance supercomputers. The company claims the move could interfere with the development of its flagship H100 chip that was announced last year, with it possibly losing US$400 million in sales if Chinese firms decide not to buy the affected chips from it. It noted that it plans to seek export control licences and try to gain exemptions from the rule, though it's still unsure whether regulators will grant them.
Meanwhile, Advanced Micro Devices Inc (AMD) said it had received new licence requirements, restricting it from selling the MI250 AI chips to China, but it believes its MI100 chips will not be affected. The company doesn't think the restrictions will have an impact on its business.
When asked, the U.S. Department of Commerce would not elaborate on the new criteria for the AI chips that can no longer be shipped to China, simply maintaining that it's in the process of reviewing related policies that would "keep advanced technologies out of the wrong hands".
"While we are not in a position to outline specific policy changes at this time, we are taking a comprehensive approach to implement additional actions necessary related to technologies, end-uses, and end-users to protect U.S. national security and foreign policy interests," a spokesperson told Reuters.
Nvidia received a seemingly similar explanation from U.S. officials, echoing the same sentiments about how the chips could be used for China's military gain.
The move could make it hard for China to find a cost-effective solution for advanced computing tasks like image and speech recognition. These are tasks that are common in a lot of consumer technology, such as smartphones that recognise their user's voices and answer queries. They can also have uses in military applications, including finding weapons or bases from satellite imagery.
The U.S. is reportedly imposing a new regulation on Nvidia, ordering it to stop the export of certain chips to China, as part of its ongoing efforts to curb Chinese technological advancements.
The restriction affects Nvidia's A100 and H100 chips, which are artificial intelligence accelerators that are used in high-performance supercomputers.
The U.S. Department of Commerce would not elaborate on the new criteria for the AI chips that can no longer be shipped to China, simply maintaining that it's in the process of reviewing related policies that would "keep advanced technologies out of the wrong hands".