Nvidia’s CEO, Jensen Huang, gives the main address during the NVIDIA GTC 2025 to the SAP Center on March 18, 2025 in San Jose, California.
Justin Sullivan | Pictures of getty
Nvidia He said on Tuesday that a quarterly charge of about $ 5.5 billion linked to the export of H20 graphics processing units to China and other destinations will be held. Shares dropped by 6% in the extended negotiation.
On April 9, the United States government told Nvidia that it would require a license to export chips to China and a good number of other countries, according to the company A a file.
Dissemination is the strongest sign until Nvidia’s historical growth could slow down export restrictions on its chips, which the United States government says can be used to create supercomputers for military use.
During the administration of President Biden, the United States restricted exports from AI chips in 2022 and then updated the rules the following year to avoid the sale of more advanced AI processors. The H20 is a AI chip for China designed to fulfill the Restrictions of North -American Export. Generated an estimated amount of $ 12 billion to $ 15 billion by 2024.
Nvidia’s CEO Jensen Huang quarterly earnings Call in February that China’s income had fallen to half of the pre-export control levels. Huang warned that competition in China is growing and, for the second consecutive year, Nvidia against Huawei As a competitor in its annual presentation.
China is the fourth region of Nvidia for sales, after the United States, Singapore and Taiwan, according to the annual report of Nvidia. 53% of their sales were in North -American companies during their fiscal year that ended in January.
NVIDIA H20 chip is comparable to H100 and H200 AI chips used in the United States and other countries, but has slower interconnection speeds and bandwidth. It is based on an earlier generation of Ai Architecture called Hopper introduced in 2022. Nvidia focuses on the sale of its current AI chip generation, called Blackwell.
Deepseek, the Chinese company that AI R1 model competition was presented earlier this year updated marketsused H20 chips in his research.
In addition to existing Chinese export controls, Nvidia also faces new restrictions on what you can export from next month, under ”AI Dissemination Rules« First proposed by the administration of Biden.
Nvidia has argued May the controls over their chips drown competition and even erode the United States’ competitiveness in technology. The company previously said that it moved some of its operations, including tests and distribution, outside China after the export controls of 2022.
At the company’s conference last month, when asked about Chinese export controls, Nvidia’s CEO, Jensen Huang, said that the company works to comply with the law, but also said that about half of the world’s AI researchers are from China and that many of these work in American AI laboratories.
In the presentation of the Second Tuesday, Nvidia says that the United States government said on Monday that the license requirement for H20 chips would be in force « for the indefinite future ».
Nvidia reports the tax results of the first quarter on May 28.
Clock: Nvidia says the United States requires license to export H20 products to China
Leave a Reply