US has published new semiconductor export regulations which are constantly hitting chipmakers and their operations across the globe. After ASML, Nvidia is the latest corporation to face US export rules, especially for China-only AI chips.
A major reason behind this harsh treatment from the US side is to halt the Chinese companies from getting cutting-edge US technologies to strengthen their military. The United States authorities believe that closing some loopholes will tie Chinese hands in military development.
It is worth mentioning that despite US restrictions, Nvidia is capable of selling every of its China-only AI chips, since they are still a better option in the chip market. Meanwhile, a shortage of GPU and AI chips benefits the company in selling their products more than their MSRP.
Though the manufacturer said that it does not expect these changes to have a ‘near-term meaningful impact’ on its financial results. And it also stressed that it does comply with regulations put out by the US.
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