Nvidia's AI chips are facing pressure from Chinese authorities: reports
Nvidia (NASDAQ: NVDA ) is not selling its most powerful chips to Chinese customers due to U.S. government restrictions.
However, Bloomberg reported on Friday.taAccording to reports, Chinese regulatory authorities are trying to prevent local companies from buying NVIDIA chips such as H20 that are approved.
NVIDIA's stock price fell 3% by the afternoon trading on Friday.
According to the report, China's goal is to expand the market share of domestic artificial intelligence chip manufacturers and reduce reliance on US technology. Cambrian and Huawei are major AI processor manufacturers in China.
The US semiconductor ban was implemented 2 years ago as a measure to suppress China's technological capabilities.
NVIDIA's latest quarterly financial reportshows that it has generated 12% of its revenue, equivalent to 3.7 billion dollars, from China and Hong Kong, indicating continued dependency on China.
"In the second quarter, revenue from datacenters in China increased compared to the previous quarter, significantly contributing to the overall datacenter revenue," said NVIDIA's chief financial officer, Colette Kress. "The percentage of datacenter revenue as a whole is below the level before the introduction of export regulations."
Nevertheless, despite government orders, some AI companies in China continue to hoard Nvidia's H20 chips, as reported in the document.
However, Bloomberg reported on Friday.taAccording to reports, Chinese regulatory authorities are trying to prevent local companies from buying NVIDIA chips such as H20 that are approved.
NVIDIA's stock price fell 3% by the afternoon trading on Friday.
According to the report, China's goal is to expand the market share of domestic artificial intelligence chip manufacturers and reduce reliance on US technology. Cambrian and Huawei are major AI processor manufacturers in China.
The US semiconductor ban was implemented 2 years ago as a measure to suppress China's technological capabilities.
NVIDIA's latest quarterly financial reportshows that it has generated 12% of its revenue, equivalent to 3.7 billion dollars, from China and Hong Kong, indicating continued dependency on China.
"In the second quarter, revenue from datacenters in China increased compared to the previous quarter, significantly contributing to the overall datacenter revenue," said NVIDIA's chief financial officer, Colette Kress. "The percentage of datacenter revenue as a whole is below the level before the introduction of export regulations."
Nevertheless, despite government orders, some AI companies in China continue to hoard Nvidia's H20 chips, as reported in the document.
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Kimihiko OP : Nvidia's Chief Financial Officer, Colette Kress, stated, "Revenue from China's datacenters has been increasing gradually in the second quarter and is making a significant contribution to the datacenter revenue. As a percentage of total datacenter revenue, it remains below the pre-imposition level of export restrictions."
Nevertheless, according to the report, some AI companies in China continue to hoard Nvidia's H20 chips despite government orders.
Magnificent7 : Interesting
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