US tells China to train its AI on someone else’s chips
Nvidia’s stock fell more than 6 percent after it disclosed the restrictions
Nvidia, the far larger of the two companies, notes that the ban will affect the estimated $400 million sales it projected in China for the third quarter of the year . The company says it may seek a license from the US government to sell these chips to certain customers, but that it “has no assurance that the [US] will grant any exemptions.” Nvidia’s stock fell more than 6 percent on Wednesday after it disclosed the restrictions.
The US has not given exact details on what criteria it’s using to target chips, but the A100, H100, and MI250 all occupy the top-end of the AI chip market. These systems are used to train a range of machine learning applications from facial recognition to text generation, and the biggest US tech giants use them to create in-house supercomputers for R&D. Meta, for example, has built an “AI supercomputer”It’s not out of the question that the same chips could be used for military research.
A number of prominent figures in the US tech industry have, in the past, warned about China’s increasing AI capabilities as a threat to US national security. In a
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