Nvidia has developed three new chips for the Chinese market, according to local media reports. This move comes after the US blocked Nvidia from selling two high-end artificial intelligence (AI) chips and one of its top gaming chips to Chinese firms. The new chips, which are expected to be announced on November 16, are designed to comply with the new US export control curbs.
The Chinese market is crucial for US chip firms, and Nvidia’s latest move is another sign of how important the Chinese market is for US chip firms and how they are jostling to remain compliant with the new regime. The company aims to retain its reported $5 billion worth of chip orders from China by designing chips that comply with the new rules.
This development is significant as it highlights the ongoing tech war between the US and China. As the US sought to constrain China’s AI development, the Biden administration blocked sales of the A100 and H100 GPUs in October 2022. In response, Nvidia developed two alternative models for China, the A800 and H800, which fell below the performance of the banned models. The latest move by Nvidia is another attempt to avoid US restrictions and continue to sell its GPUs in China.
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