
China Tells Firms to Avoid Nvidia H20 AI Chips, Escalating Tech Tensions
The Chinese government has issued new guidance discouraging domestic firms, especially those involved in government projects, from using Nvidia’s H20 artificial intelligence chips. This move could hinder Nvidia’s efforts to regain revenue lost due to U.S. export restrictions, as the H20 chips were specifically designed to comply with those limits. The guidance further complicates the U.S.-China tech rivalry, as Washington seeks to capture financial gains from American firms’ China-related AI sales through new fees.
This development marks a significant setback for Nvidia and signals intensifying geopolitical challenges for global chipmakers.