Nvidia looking to halt H20 chip production after China cracks down on purchases
A nvidia chip is seen from the magnifying glass on August 1, 2025 in Beijing, China.
VCG | Visual Chinese Group | Getty Images
Nvidia Since some component suppliers fell into the Beijing American chip lover, he asked for H20 to stop the production of H20 general processing units for China. reported Friday.
The Directive comes weeks after the Chinese government tells local technology companies to stop taking chips because of their allegations of security concerns.
NVIDIA reportedly asked the company’s advanced packaging of the H20 chips and the Arizona -based amkor technology to stop the production of South Korea’s Samsung Electronics, which provides memory for them. Samsung and Amkor did not respond immediately to CNBC’s request for comments.
A separate report from Reuters, referring to resources, said that Nvidia asked Foxconn to suspend H20s. Foxconn did not respond immediately to the request request.
In response to an investigation from CNBC, a NVIDIA spokesman said, “We are constantly managing our supply chain to address market conditions.”
After saying that Washington will provide export licenses, the H20’s return to the Chinese market and the chip allowed to export to China, which is effectively prohibited in April.
Last month, China called the Cyber Space Management Nvidia about national security concerns with H20s and asked the company to give information about chips.
Beijing expressed concerns that chips may have specific monitoring technology or “backroors” and allow them to run remotely. There are US deputies proposed legislation This will require the AI chips within the scope of export regulations to be equipped with location monitoring systems to avoid illegal shipments.
NVIDIA CEO Jensen Huang, who spoke to journalists in Taiwan on Friday, acknowledged that China asked questions about the security “back doors” and made it clear that the company did not exist.
“I hope our response to the Chinese government will be enough. We are meeting with them.”
“As you know, [Beijing] He asked us to get a license for the H20s for a while and called and worked hard to help them secure the licenses, and I hope this will be solved, “he said.
Nvidia said on Friday, “Sunday H20 can use safely,” he said.
“As both governments know, the H20 is not for a military product or government infrastructure. China will not rely on American chips for government operations, just as the US government will not rely on chips from China. However, it is good for everyone to allow the US chips for useful commercial business use.”
Last month, NVIDIA reported that he sent notifications to major technology companies and AI developers for the first time as a soft task against the use of H20s. Information later reported that Beijing told some companies such as Bayta, Alibaba and Tencent to stop the chips completely until the completion of the national security investigation.
Huang was seen as a major win for Nvidia when the US government announced that the US government would allow the company’s H20 chips to sell to China.
However, the National Security Study, which H20s are now faced by China, emphasizes the difficulties of nvidia’s business by changing the increasing tension and trade policy between Washington and Beijing.
Chip industry analysts also said Beijing’s actions strengthen their commitment to their own self -sufficiency campaigns, and the intention of resisting the Trump administration’s plan to dominate the American AI equipment in China.
