Tuesday, 02 January 2024 12:17 GMT

Nvidia CEO Pursues Entry of Blackwell Chips into Chinese Market


(MENAFN) Nvidia CEO Jensen Huang revealed Thursday that discussions are underway with the Trump administration to allow sales of the company’s cutting-edge Blackwell chips to China, as the tech giant pursues entry into the Chinese market amid ongoing restrictions.

Speaking to media, Huang expressed cautious optimism about the talks but stressed that no specific timeline exists for a resolution. “I think that the conversation will take a while, but President Trump understands that having the world build AI on the American tech stack helps America win the AI race,” Huang said.

He emphasized the broader strategic vision: “And he wants American technology all over the world so that the whole world is built on the American standard, like the US Dollar is the global standard.”

Huang also addressed the transformative potential of artificial intelligence, acknowledging both its challenges and benefits. He highlighted that AI will “enrich our lives,” even as it leads to some job displacement.

“Every industrial revolution leads to some change social behavior,” Huang explained. “But I expect the economy to be doing very well because of AI and automation. And I expect us to enrich our lives. Life quality will get better, of course, over time. Some jobs will go away. Many jobs will be new and invented. But one thing for sure, every job will be changed as a result of AI.”

Nvidia’s recent quarterly earnings revealed zero sales of its H20 chips to China, a direct impact of the previous US export restrictions. Huang acknowledged the absence of orders but expressed hope for incoming demand. “H20 is really a fantastic product still. The price performance, its cost efficiency, and its ability to generate AI tokens is really terrific,” he said.

The US initially imposed the chip sales ban in April amid escalating tensions with Beijing, but last month reversed course, announcing the removal of licensing barriers. Despite this, reports indicate that Chinese authorities have advised local firms against deploying Nvidia’s H20 processors, especially in government sectors.

Blackwell, one of Nvidia’s flagship AI chips, saw its sales rise 17% year-over-year in the latest quarter. Huang underscored its significance: “Blackwell is the AI platform the world has been waiting for, delivering an exceptional generational leap — production of Blackwell Ultra is ramping at full speed, and demand is extraordinary,” he said in a financial statement.

The evolving chip trade dynamics highlight the intersection of technology, geopolitics, and global AI competition.

MENAFN01092025000045017169ID1110001657

Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.

Search