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To jump Trump’s restrictions, Nvidia plans to create a special chip for China

To jump Trump’s restrictions, Nvidia plans to create a special chip for China
To jump Trump’s restrictions, Nvidia plans to create a special chip for China
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Nvidia It plans to one Improved version of its H20 artificial intelligence chip for China In the next two months, after the restrictions imposed by the US to the export of the original , three sources close to the matter have told Reuters.

The American chip manufacturer has notified its main Chinese clients, including important cloud computer suppliers, which plans to launch the modified H20 chip in Julyaccording to two of the sources. He H20 ModificadOr it is Nvidia’s attempt to maintain her presence in one of her most crucial markets in the face of Washington’s growing efforts to restrict China’s access to advanced semiconductor technology. He H20, which had been the most powerful artificial intelligence chip authorized for sale in China, was blocked of the market after the US authorities informed the company last month that the product would require an export permit.

Nvidia has formulated new technical thresholds, which will guide the of modified chip designs. According to one of the sources, these specifications will involve important improvements with respect to the original H20, including a substantial reduction in memory capacity.

Another sources said subsequent customers could modify the module configuration to adjust chip performance levels. Nvidia did not want to comment. The United States Department of did not immediately to a request for comments.

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China represented 17,000 million dollars in revenue, or 13% of the total sales of Nvidiain the fiscal year ended on January 26. Highlighting the strategic importance of the country, the CEO of Nvidia, Jensen Huang, visited Beijing last month, a few days after the US authorities announced the new requirements for the export permit of the H20 chip. In his meetings with Chinese leaders, Huang stressed the importance of China as a key market for the company.

The United States has restricted exports of the most sophisticated Nvidia chips to China since 2022, claiming concerns about its possible applications.

He H20 was introduced after Washington hardening export controls in October 2023. Chinese technological giants such as Tencent, Alibaba and Bytedance, the Tiktok parent company, increased H20 chips orders in the middle of the growing demand for profitable artificial intelligence models by companies such as the Deepseek startup, according to Reuters earlier this year. Nvidia had accumulated H20 orders worth 18,000 million dollars since January, according to reuters information last month.

Reuters


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