Computers New hurdles for Nvidia to export to China cost billions
US restrictions on AI chips to China are costing Nvidia billions: The group will record a charge of 5.5 billion dollars due to stockpiles and purchase commitments, Nvidia announced.
16.04.2025, 02:52
SDA
Even under the previous president Joe Biden, the USA created hurdles for the sale of the most modern high-performance chips to China. Nvidia was therefore only able to supply Chinese companies with a slimmed-down and slower version called H20. However, even these chip systems are now subject to export restrictions due to the trade policy of Biden's successor Donald Trump, as Nvidia announced.
The company's chips have become key technology for the booming artificial intelligence business. Chinese AI developers cannot ignore them either.
There has been speculation for some time about a tightening of export restrictions. As a result, Chinese companies such as Tiktok owner Bytedance, Alibaba and Tencent ordered H20 chips worth at least 16 billion dollars from Nvidia in the first three months of this year alone, the website "The Information" recently reported. This exceeded Nvidia's previous production capacity for this version, according to reports citing informed persons.
