Recent reports from the Financial Times have accused NVIDIA of sending custom GPU designs to China to bypass U.S. export restrictions. These reports also claim that Jensen Huang, NVIDIA’s CEO, discussed the creation of a research and development center in Shanghai last month. According to these sources, the GPU designs were sent to China for modification in order to comply with Chinese market needs.
NVIDIA Responds to the Accusations
NVIDIA quickly denied these claims. In a statement to CNBC, the company stated that it had not sent any GPU designs to China. The company stressed that it follows U.S. export rules strictly and does not violate them by sending designs for modification.
Since 2022, the AI chip industry has faced significant challenges due to U.S. restrictions on sending advanced chips to China, mainly due to national security concerns. Last week, President Donald Trump revealed that his administration would ease some of these restrictions, making it easier for U.S. companies to maintain a lead in AI development while still ensuring national security.
The Growing AI Market in China
Despite these challenges, Huang has highlighted the importance of the Chinese market for NVIDIA, calling it one of the biggest after the U.S., Singapore, and Taiwan. He estimates that China’s AI market could reach up to $50 billion in the next 2 to 3 years.
As the U.S. government continues to increase its oversight on AI chip exports to China, the question remains: Did NVIDIA break the rules by cooperating with China to bypass these restrictions? Let us know in the comments below.
