Nvidia faces $5.5-billion charge as U.S. restricts chip sales to China [Globe and Mail, The (Toronto, Canada)]
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Source: Globe and Mail, The
Nvidia’s AI chips have been a key focus of U.S. export controls as U.S. officials have moved to keep the most advanced chips from being sold to China. Almost immediately after those controls were implemented, Nvidia began designing chips that would come as close as possible to U.S. limits while still being legal to sell in China. Nvidia shares were down about 6 per cent in after-market trading. Chinese companies including Tencent, Alibaba and TikTok-parent ByteDance had been ramping up orders for H20 chips due to booming demand for low-cost AI models from startup DeepSeek, Reuters reported in February. Nvidia said on Tuesday that the U.S. government informed it on April 9 that the H20 chip would require a license to be exported to China and on April 14 told Nvidia those rules would be in place indefinitely. Nvidia’s filing did not indicate how many, if any, of those licenses the U.S. government might grant. Nvidia declined to comment beyond its filing. The U.S. Department of Comme
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