this post was submitted on 16 Apr 2025
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April 15 (Reuters) - Nvidia (NVDA.O) on Tuesday said it would take $5.5 billion in charges after the U.S. government limited exports of its H20 artificial intelligence chip to China, a key market for one of its most popular chips.

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 as the U.S. tries to keep ahead in the AI race. After those controls were implemented, Nvidia began designing chips that would come as close as possible to U.S. limits.

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[–] RedWeasel@lemmy.world 4 points 2 days ago (7 children)

I am not even sure what the US government expects to achieve by limiting them at this point. I could see it being used for negotiating with China on trade, but these guys are inherently not capable of any of that.

[–] queermunist@lemmy.ml 9 points 2 days ago (6 children)

This is classic underdevelopment, like how Europe and the US deliberately withheld vital equipment and machinery from Africa to prevent them from building their own industrial base.

It's obviously way too late for this tactic to make any sense, though. China can't be underdeveloped, they're becoming a tech leader at this point.

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