The US is preparing to intensify the fight for chips against China, – Bloomberg
The Biden administration plans to tighten export controls to limit the sale of some artificial intelligence chips to China. This is reported by Bloomberg, citing people familiar with the situation.
The US is expected to revise export controls to make it harder to sell some chips to China without a license. The move is aimed in part at NVIDIA Corp.’s A800 chip, which the U.S. company developed after the controls were announced. The product configuration just meets these limitations.
NVIDIA CFO Colette Kress said the company is aware of reports of increased restrictions. According to her, the high overall demand for its products means that the introduction of such rules will not have a significant impact on profits.
At the same time, she added that China accounts for 20% to 25% of Nvidia’s data center revenues, and in the long term any ban on exports to that country would mean a loss of opportunity.
The move underscores the Biden administration’s determination to contain China’s technological growth and could escalate tensions between the two countries. Chinese embassy spokesman Liu Pengyu called the Biden administration’s moves in the semiconductor industry an example of the lack of respect that prevents Washington and Beijing from discussing other issues.
Earlier, NVIDIA CEO Jensen Huang said that U.S. technology industry risks huge damage from an escalating chip battle between Washington and Beijing.