The US government has banned AMD and Nvidia from exporting chips used to support artificial intelligence to China.
The ban affects Nvidia’s A100 chips, which are often deployed in data centers to speed up the training of machine learning models, and the upcoming H100 chip, while AMD has also received new license requirements that will stop the export of its advanced AI chip MI250 in China.
IN SEC filingNvidia said: “The US government has imposed a new license requirement, effective immediately, for any future exports to China (including Hong Kong) and Russia of the company’s A100 and upcoming H100 IC.”
According to Nvidia, the US government has said the new license requirement addresses the risk that these chips could be used for military purposes in China and Russia. Nvidia said it does not sell products to customers in Russia.
Nvidia also said in its filing that the new license requirement could affect its ability to complete H100 development in a timely manner or support existing A100 customers, and could result in the need to move certain operations out of China.
IN statement to Reuters, an AMD spokesperson said they received new licensing requirements, halting exports of its MI250 AI chips to China. However, the company believes that its MI100 chips will not be affected and that the new rules will not have a material impact on its business.
The ban will affect Chinese companies looking to develop advanced computing capabilities such as speech and image recognition for both consumers and industry, as there are a limited number of Chinese chipmakers that could fill the resource shortfall in the face of the ban .
As a result, while the restrictions are unlikely to stop Chinese tech companies from advancing their AI research, in the short term it will make R&D efforts in the region more expensive and less efficient.
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