US mulls tightening ban on AI chips to China
Washington is understood to be considering further restrictions on the export to China of advanced chips used for AI processing, moves which could dent the sales of companies including Nvidia and AMD.are already fueling a burgeoning black market for GPUs in China, and this latest action would only exacerbate the situation.
These restrictions were put in place due to fears that advanced chips might be used in or diverted to applications training AI that could be of benefit to the military in China or Russia, Nvidia said at the time.that China's agency responsible for developing and maintaining nuclear weapons has been operating infrastructure powered by Intel and Nvidia chips, despite such kit being covered by an existing trade ban.
Now it appears that lawmakers in Washington are planning to expand the ban to include even these lower performing products. In response, shares in Nvidia were reported to be down by 3.2 percent and those of AMD down about 3 percent in New York trading yesterday evening, following the reports.
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