Nvidia's AI Chip Exports Caught In Crossfire As Biden's China Policy Focuses On Tech
Portfolio Pulse from Piero Cingari
The Biden administration has halted Nvidia Corp.'s microchip sales to the Middle East due to concerns about potential re-exports to China. The move is part of a broader focus on national security in the tech sphere and aims to curb China's AI ambitions. The chips in question, including the H100 and A100 chips, are crucial for training advanced AI systems. Despite this, Nvidia stated that the licensing requirement doesn't significantly impact their revenue.
August 30, 2023 | 8:13 pm
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Nvidia's microchip sales to the Middle East have been halted by the Biden administration due to concerns about potential re-exports to China. However, Nvidia stated that this doesn't significantly impact their revenue.
The halt on Nvidia's microchip sales to the Middle East could potentially disrupt the company's business operations in the region. However, Nvidia has stated that this licensing requirement doesn't significantly impact their revenue, suggesting that the financial impact of this move may be limited. Therefore, the short-term impact on Nvidia's stock price is likely to be neutral.
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