China Blocks Technology Firms from Purchasing Nvidia AI Chips
(MENAFN) China has blocked its technology firms from purchasing Nvidia’s artificial intelligence (AI) chips, signaling a strategic move to bolster its homegrown semiconductor sector and reduce dependence on US technology, according to a media report on Wednesday.
The Cyberspace Administration of China (CAC) reportedly instructed key companies, including ByteDance and Alibaba, to immediately cease testing and ordering the Nvidia RTX Pro 6000D chip—a model tailored specifically for China. This directive follows US export controls that have restricted sales of Nvidia’s more advanced chip versions to the country.
Despite the restrictions, Beijing has yet to release an official statement confirming a formal ban on Nvidia’s AI chip purchases.
Nvidia CEO Jensen Huang voiced his disappointment over the reported restrictions during a press event in London, as reported by media.
“We can only be in service of a market if the country wants us to be,” Huang stated. “We probably contributed more to the Chinese market than most countries have. And I’m disappointed with what I see,” he added. “But they have larger agendas to work out between China and the US, and I’m understanding of that.”
This development follows Huang’s remarks last month about ongoing discussions with the Trump administration regarding the potential sale of Nvidia’s Blackwell chips to China, as the company explores pathways to re-enter the Chinese market despite regulatory barriers.
Huang remains cautiously optimistic about these talks, though he emphasized, “there is no timetable for reaching an agreement.”
Nvidia’s Q2 earnings report showed zero sales of H20 chips to China so far, with Huang noting the company has yet to receive orders but remains hopeful, stating, "But we're hoping for orders."
Earlier this year, the US government imposed restrictions on Nvidia’s advanced H20 chip sales to China, escalating tensions in the ongoing tech rivalry between Washington and Beijing. However, in July, the US announced plans to relax licensing rules to permit these sales again.
Reports also indicate that Beijing has urged domestic companies to avoid deploying Nvidia’s H20 processors, especially for government-related applications.
The Cyberspace Administration of China (CAC) reportedly instructed key companies, including ByteDance and Alibaba, to immediately cease testing and ordering the Nvidia RTX Pro 6000D chip—a model tailored specifically for China. This directive follows US export controls that have restricted sales of Nvidia’s more advanced chip versions to the country.
Despite the restrictions, Beijing has yet to release an official statement confirming a formal ban on Nvidia’s AI chip purchases.
Nvidia CEO Jensen Huang voiced his disappointment over the reported restrictions during a press event in London, as reported by media.
“We can only be in service of a market if the country wants us to be,” Huang stated. “We probably contributed more to the Chinese market than most countries have. And I’m disappointed with what I see,” he added. “But they have larger agendas to work out between China and the US, and I’m understanding of that.”
This development follows Huang’s remarks last month about ongoing discussions with the Trump administration regarding the potential sale of Nvidia’s Blackwell chips to China, as the company explores pathways to re-enter the Chinese market despite regulatory barriers.
Huang remains cautiously optimistic about these talks, though he emphasized, “there is no timetable for reaching an agreement.”
Nvidia’s Q2 earnings report showed zero sales of H20 chips to China so far, with Huang noting the company has yet to receive orders but remains hopeful, stating, "But we're hoping for orders."
Earlier this year, the US government imposed restrictions on Nvidia’s advanced H20 chip sales to China, escalating tensions in the ongoing tech rivalry between Washington and Beijing. However, in July, the US announced plans to relax licensing rules to permit these sales again.
Reports also indicate that Beijing has urged domestic companies to avoid deploying Nvidia’s H20 processors, especially for government-related applications.
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