Major Chinese tech companies are no longer allowed to purchase Nvidia AI chips.
The Cyberspace Administration of China (CAC) has banned large technology companies such as ByteDance and Alibaba from buying and ordering Nvidia’s AI chips. This concerns the Nvidia RTX Pro 6000D, the chip specially developed for China.
Testing and orders abruptly halted
According to sources from Ars Technica, several Chinese companies were planning to order tens of thousands of RTX Pro 6000D units and had already begun testing and verifying through Nvidia’s server suppliers. After the CAC’s order, this was immediately stopped.
The ban goes beyond previous guidelines that only focused on the Nvidia H20. China is said to have since developed domestic AI processors that deliver similar or even better performance than Nvidia’s models for China.
Less dependency
Nvidia CEO Jensen Huang indicated he was “disappointed but understanding” about the decision. He expects to discuss the topic in London with President Donald Trump during his state visit to the United Kingdom. Nvidia began developing China-specific chips after the US under President Biden banned the export of the most powerful AI processors to China.
Beijing is said to have called on Chinese tech companies to stimulate the domestic semiconductor industry and reduce dependence on America. According to the Financial Times, Chinese companies like Huawei and Cambricon want to triple their production next year to fully meet domestic demand on their own.