ETtechNvidia is planning to modify the design of its artificial intelligence (AI) chips to comply with tightened US export restrictions, The Information has reported.
According to the report, the chipmaker has informed major Chinese clients, including Alibaba Group, TikTok-parent ByteDance and Tencent Holdings, about its plans. The discussions took place during CEO Jensen Huang’s mid-April visit to Beijing, the report said, citing three people familiar with the matter.
Huang’s visit came just days after the US government imposed fresh restrictions on the export of advanced AI chips to China. The new rules target Nvidia’s H20 chip, which the company had developed to meet earlier US regulatory requirements.
The H20 is now also restricted under the updated norms, as it still offers computing power considered too advanced. The US government has said the move is intended to prevent China’s military from accessing cutting-edge AI capabilities.
Nvidia had earlier said the revised export rules would significantly affect its operations, estimating a potential revenue hit of up to $5.5 billion.
Despite the setback, the company is exploring ways to retain its presence in China while remaining within the bounds of US regulations.
Nvidia has told customers that samples of a redesigned chip could be available as early as June. It is also developing a China-specific version of its latest-generation AI chip, Blackwell, the report said.
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Huang’s visit came just days after the US government imposed fresh restrictions on the export of advanced AI chips to China. The new rules target Nvidia’s H20 chip, which the company had developed to meet earlier US regulatory requirements.
The H20 is now also restricted under the updated norms, as it still offers computing power considered too advanced. The US government has said the move is intended to prevent China’s military from accessing cutting-edge AI capabilities.
Nvidia had earlier said the revised export rules would significantly affect its operations, estimating a potential revenue hit of up to $5.5 billion.
Despite the setback, the company is exploring ways to retain its presence in China while remaining within the bounds of US regulations.
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Nvidia has told customers that samples of a redesigned chip could be available as early as June. It is also developing a China-specific version of its latest-generation AI chip, Blackwell, the report said.
