December 23, 2024

Nvidia announces a sudden stop in the export of AI chips to China due to US orders

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Intel, another technology company, is reviewing regulations on an accelerated timetable

Nvidia, the chip designer, announced that the United States has instructed an immediate halt to the export of high-end artificial intelligence chips to China. Regulators have expedited the deadline, which was initially set to be 30 days after October 17th. This decision follows the Biden administration’s unveiling of measures aimed at preventing countries such as China, Iran, and Russia from acquiring advanced AI chips from Nvidia and other companies.

Nvidia did not offer an explanation for the accelerated timeline imposed by the US government but indicated that it expects no immediate impact on its earnings as a result of this move. Advanced Micro Devices, another semiconductor company affected by these restrictions, has not responded to inquiries from Reuters. The US Department of Commerce has declined to provide any comments on the matter.

Intel, which commenced sales of its Gaudi 2 chips in China in July, has mentioned that it is presently reviewing the regulations and assessing potential consequences. The export restrictions imposed by the US affect Nvidia’s modified high-level AI chips, namely the A800 and H800, both designed for the Chinese market in accordance with prior constraints.

The limitations also affect Nvidia’s A100, H100, and L40S chips.

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