The United States is considering new restrictions on the export of AI chips to China, according to Reuters. The news agency refers to the latest report from The Wall Street Journal.
USA intensifies pressure on China
The report quotes a source closely involved in the situation, stating that the U.S. government is considering another round of restrictions on the export of “smart semiconductors” to the Chinese market.
In response to this information, shares of Nvidia and AMD declined by 2% and 1.5% respectively. A further statement indicates that both companies will be forced to suspend deliveries as early as next month, in July.
AMD and Nvidia closely monitor the situation
Nvidia, Micron, and AMD belong to the so-called “Holy Trinity” of chip manufacturers, who have found themselves caught in the crossfire between China and the Biden administration.
What has been hanging in the air for weeks is now taking on very real contours. In response to the planned restrictions, Nvidia introduced the A800 chip, which was supposed to receive an exemption. However, in light of recent events, it seems that everything will ultimately be different.
The whole case is accompanied by some confusion because the aforementioned A800 chip was developed by the company based on the request of the U.S. side, and the components were initially planned for China. Now, however, there are considerations that the sanctions may also affect them.