The US is preventing Nvidia from selling artificial intelligence chips to China.

US Halts Sales of Nvidia's B30A Chip

The US government has announced that it will not allow the sale of Nvidia's (NVDA) B30A artificial intelligence chip, which was developed specifically for China. According to a report by The Information, the company planned to offer the B30A model to its Chinese customers. However, this attempt has been blocked due to the US's strategic technology restrictions.

Features of the B30A Chip

The B30A chip is built on Nvidia's Blackwell architecture and was introduced a few months ago as more powerful than the H20 model, according to Reuters. According to two Nvidia employees, work has begun on making some changes to the chip's design in hopes of changing the US government's stance.

Nvidia's Market Strategy

Nvidia officials stated in a statement regarding this matter, "We have no market share in China's data center computing market anymore and do not include this market in our forecasts." The company, which held a 95% share in the Chinese market in 2022, is currently developing alternative strategies.

China's Policies Towards Domestic Manufacturers

The Chinese government is trying to deter international companies, especially from purchasing Nvidia's chips. The country is supporting local manufacturers like Huawei to encourage China to develop its own artificial intelligence chips. Recently published regulations only allow the use of Chinese-made artificial intelligence chips in new data center projects.

Statements from Nvidia's CEO

Nvidia CEO Jensen Huang stated in a remark that there are "no active discussions" regarding the sale of advanced Blackwell chips to China. In an interview with a television channel in Taiwan, he said, "We are not planning any shipments to China at this time. China will decide whether Nvidia products can be used in its own market; it doesn't seem possible without a change in policies."