Following the Trump administration’s relaxation of export restrictions, US tech giant Nvidia will once again begin selling its H20 AI processor in China. The company stated in a blog post on Tuesday that the White House promised to issue licenses for the product in the Chinese market.
The action represents a reversal for the government, which in April prohibited the chip’s sale to China due to worries that the technology would be utilised for military objectives. Nvidia said at the time that it had been informed that the export ban would remain in effect for the “indefinite future.
In May, Nvidia said that the limitations cost it $4.5 billion (€3.8 billion) in inventory costs during the April quarter and that it lost out on an extra $2.5 billion (€2.1 billion) in sales. Its share price momentarily fell after the announcement.
While in office, Trump restricted Nvidia’s H20 AI processor while overhauling the Biden-era limitations. Nvidia also unveiled a new AI chip designed specifically for China on Tuesday, claiming it was “fully compliant” with export regulations. Following months of lobbying in China and the US, Nvidia CEO Jensen Huang made the statement on Tuesday.
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