Nvidia orders suppliers to halt production of China-specific H20 AI chips after Beijing crackdown: Report

According to a new report of information referring to anonymous sources, NVIDIA instructed component suppliers, including Samsung Electronics and Amkor Technology, to stop all production of H20 AI chip. Nvidia’s order comes shortly after the Chinese government called local companies to stop using the H20 chip because of security concerns.

In particular, both the Nvidia and the AMD have recently received approval from the US government to continue supplying low -end AI chips to China, provided that they gave 15% of the relevant income to the government.

It has been reported, while the amkor technology manages advanced packaging for H20 chips, Samsung Electronics supplies memory for them.

Meanwhile, another report of Reuters said that Nvidia asked Foxconn to stop the work on H20 chips.

Jensen Huang in H20 chips to supply to China:

Nvidia CEO Jensen Huang recently insisted that H20 chipsets were not a ‘national security concern’ for the Chinese market.

Huang, “We have clarified very much and the H20 is not the back door of the security, there is no such thing, never, and I hope that our response to the Chinese government will be enough.”

“As you know, [China] For a while, he asked us to secure licenses for H20s and called and worked hard to help them secure the licenses, and I hope this will be solved, ”

China’s cyber space management called Nvidia last month because of national security concerns around the H20 chips and asked the company to give information about them.

Chinese agencies claim that there is a monitoring technology or a “back door ıyla that can allow them to be operated by the United States within the chip. It has been reported that China told large companies such as BYTTANCE, Alibaba and Tencent to stop the orders of Nvidia chips until the national security investigation was completed.