China stops firms to order Nvidia H200, mandating local AI chips


Huawei vs Nvidia AI chips chapter is now taking a new turn as China has started asking native companies not to order H200 processors. News also has it that the Beijing administration may further mandate local AI chip purchases for all firms.

The U.S. has approved Nvidia to sell its artificial intelligence processors in China. Meanwhile, the Beijing authorities are trying to prevent them from entering their boundaries and maintain self-reliance.

Consequently, Nvidia is now stuck between the export controls of the U.S. and China. The former is trying to increase chip restrictions, while the latter is working on new projects to reduce its dependence on foreign products and technologies.

And in the latest edition, China is asking its firms not to order Nvidia AI chips – H200. It has already instructed the companies to use native chips and tech goods.

But following the recent ‘order activity’ for Nvidia H200 from the Chinese clients, the Beijing authorities may soon mandate purchasing domestic AI processors.

The report further reveals that China is suspending the Nvidia H200 chip orders as it wants to consider “whethers” and “whats” conditions that can impact the country with this move. It is also discouraging local firms from stockpiling US chips.

Liu Pengyu, a spokesperson for the Chinese Embassy in the U.S., has commented on this matter, saying:

“China is committed to basing its national development on its own strengths, and is also willing to maintain dialogue and cooperation with all parties to safeguard the stability of global industrial and supply chains.”

On the other hand, Nvidia CEO Jensen Huang earlier mentioned that the H200 demand in China is quite strong and many firms are looking forward to purchasing these processors. Though they await formal news from the authorities.

Nvidia chip

Nvidia AI chip (Image Credits: Nvidia)

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The post China stops firms to order Nvidia H200, mandating local AI chips appeared first on Huawei Central.



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