{"id":65561,"date":"2025-08-13T03:16:16","date_gmt":"2025-08-13T03:16:16","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/65561\/"},"modified":"2025-08-13T03:16:16","modified_gmt":"2025-08-13T03:16:16","slug":"china-warns-companies-against-using-nvidia-and-amd-chips-report-says","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/65561\/","title":{"rendered":"China warns companies against using Nvidia and AMD chips, report says"},"content":{"rendered":"<p>Nvidia CEO Jensen Huang and U.S. Secretary of the Interior Doug Burgum attend the &#8220;Winning the AI Race&#8221; Summit in Washington D.C., on July 23, 2025.<\/p>\n<p>Kent Nishimura | Reuters<\/p>\n<p>China has told companies to refrain from using <a href=\"https:\/\/www.cnbc.com\/quotes\/NVDA\/\" rel=\"nofollow noopener\" target=\"_blank\">Nvidia<\/a>&#8216;s H20 chips after the chipmaker recently received approval to resume shipping the less-advanced <a href=\"https:\/\/www.cnbc.com\/ai-effect\/\" rel=\"nofollow noopener\" target=\"_blank\">artificial intelligence<\/a> product, <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2025-08-12\/china-urges-firms-not-to-use-nvidia-h20-chips-in-new-guidance\" target=\"_blank\" rel=\"nofollow noopener\">Bloomberg reported,<\/a> citing sources familiar with the matter.<\/p>\n<p>Authorities have recently told companies to avoid using the Nvidia chips, or those from <a href=\"https:\/\/www.cnbc.com\/quotes\/AMD\/\" rel=\"nofollow noopener\" target=\"_blank\">Advanced Micro Devices<\/a>, for government and national security use cases, according to the news outlet.<\/p>\n<p>The report comes after the White House confirmed on Monday that both\u00a0Nvidia and\u00a0<a href=\"https:\/\/www.cnbc.com\/quotes\/AMD\/\" rel=\"nofollow noopener\" target=\"_blank\">AMD <\/a>have agreed to give 15% of all China\u00a0<a href=\"https:\/\/www.cnbc.com\/2025\/08\/10\/nvidia-amd-15percent-of-china-chip-sales-revenues-to-us-ft-reports.html\" rel=\"nofollow noopener\" target=\"_blank\">revenues<\/a> to the U.S. government.<\/p>\n<p>Last month, both companies said they would soon resume <a href=\"https:\/\/www.cnbc.com\/2025\/07\/15\/amd-mi308-ai-chip-china.html\" rel=\"nofollow noopener\" target=\"_blank\">China shipments<\/a> after the administration started <a href=\"https:\/\/www.cnbc.com\/2025\/04\/16\/us-issues-export-licensing-requirements-for-nvidia-amd-chips-to-china.html\" rel=\"nofollow noopener\" target=\"_blank\">requiring export licenses<\/a> earlier this year. Both Nvidia&#8217;s H20 chip and AMD&#8217;s MI380 were created to work around previous AI chip restrictions to China due to national security fears.<\/p>\n<p>Shares of both stocks teetered on Tuesday before closing slightly higher.<\/p>\n<p>During a press conference Monday, Trump called Nvidia&#8217;s <a href=\"https:\/\/www.cnbc.com\/2025\/08\/11\/trump-nvidia-20percent-cut-h20-obsolete-chip.html\" rel=\"nofollow noopener\" target=\"_blank\">H20<\/a> chip &#8220;obsolete&#8221; and said he wouldn&#8217;t allow the higher-end Blackwell shipments there without a 30% to 50% decrease in performance.<\/p>\n<p>China is a key market for AI chipmakers such as Nvidia and AMD.<\/p>\n<p>Earlier this year, Nvidia CEO Jensen <a href=\"https:\/\/www.cnbc.com\/2025\/05\/06\/nvidia-ceo-says-missing-china-ai-market-would-be-tremendous-loss-.html\" rel=\"nofollow noopener\" target=\"_blank\">Huang said<\/a> getting pushed out of the China market would be a &#8220;tremendous loss&#8221; for the company. He estimated the country&#8217;s AI market will hit $50 billion over the next two to three years.<\/p>\n<p>Over the weekend, a social media account connected to Chinese state media said the H20 chips <a href=\"https:\/\/www.cnbc.com\/2025\/08\/10\/chinese-state-media-says-nvidia-h20-chips-not-safe-for-china.html\" rel=\"nofollow noopener\" target=\"_blank\">were not &#8220;safe.&#8221;<\/a><\/p>\n<p><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2025-08-12\/china-urges-firms-not-to-use-nvidia-h20-chips-in-new-guidance\" target=\"_blank\" rel=\"nofollow noopener\">Read the full story here.<\/a><\/p>\n<p>Stock Chart IconStock chart icon<img decoding=\"async\" src=\"https:\/\/static-redesign.cnbcfm.com\/dist\/a54b41835a8b60db28c2.svg\" class=\"Collapsible-dismissButton\" alt=\"hide content\"\/><\/p>\n<p>One-day stock chart of Nvidia and AMD.<\/p>\n<p><img decoding=\"async\" class=\"InlineVideo-videoThumbnail\" src=\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2025\/08\/108184532-17549654101754965407-41143243200-1080pnbcnews.jpg\" alt=\"Trump's decision to allow chip sales to China is 'reverse tariff' and we could see more such deals\"\/><\/p>\n","protected":false},"excerpt":{"rendered":"Nvidia CEO Jensen Huang and U.S. Secretary of the Interior Doug Burgum attend the &#8220;Winning the AI Race&#8221;&hellip;\n","protected":false},"author":2,"featured_media":65562,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[27605,4615,2158,45,161,49,48,46,10355,8189,1369,714,61,41799],"class_list":["post-65561","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-advanced-micro-devices-inc","tag-breaking-news-politics","tag-breaking-news-technology","tag-business","tag-business-news","tag-ca","tag-canada","tag-economy","tag-enterprise","tag-jensen-huang","tag-nvidia-corp","tag-politics","tag-technology","tag-the-edge"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/65561","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=65561"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/65561\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/65562"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=65561"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=65561"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=65561"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}