Nvidia orders suppliers to halt work on China-focussed H20 AI chip, The Information says

(Reuters) -nvidia (NVDA), some component suppliers, the information reported on Thursday, referring to two people who have direct information about communication, said the H20 AI chip specially designed for the Chinese market to suspend the production of the H20 AI chip.

According to the report, NVIDIA instructed the Arizona -based Amkor Technology to stop the production of H20 chips this week and also reported South Korea’s Samsung electronics.

Amkor, while processing the advanced packaging for the chip, supplys high -band -wide memory chips for the Samsung Electronics model.

Both companies did not respond immediately to a Reuters comments request.

In the meantime, NVIDIA spokesman said in a statement, “We are constantly managing our supply chain to address market conditions,” he said.

“As both governments know, the H20 is not for a military product or government infrastructure. China will not trust the US government from China, and will not rely on American chips for government operations.” He said.

This comes last week as Chinese authorities call domestic companies, including large internet companies Tencent and Bytectance, on H20 chipset purchases and expressed concerns about the risks of information.

(Reporting the Summer in Bengaluru by MV; Editing by Sumana Nandy)