Latest news with #910C
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First Post
15-05-2025
- Business
- First Post
Trump's new salvo at China: Using Huawei's chips 'anywhere in the world' violates US export controls
US has warned that any company using Huawei-made artificial intelligence chips anywhere in the world could attract criminal penalties for potentially violating US export controls read more US President Donald Trump's administration has warned that any company using Huawei-made artificial intelligence chips anywhere in the world could attract criminal penalties for potentially violating US export controls. The directive from the US Commerce Department is supported by the notion that Huawei chips, especially Ascend 910B, 910C and 910D, are made using US technology. The department's Bureau of Industry and Security clarified Tuesday (May 13) that the new measure was part of the administration's more stringent approach to foreign AI chips. It is to be noted that the bureau has not issued any rule but has merely widened the interpretation of US export controls. STORY CONTINUES BELOW THIS AD 'The guidance is not a new control, but rather a public confirmation of an interpretation that even the mere use anywhere by anyone of a Huawei-designed advanced computing [integrated circuit] would violate export control rules,' Kevin Wolf, a veteran export control lawyer at Akin Gump, was quoted as saying by Financial Times. Which Huawei chips are targeted by US? According to the Trump administration, Huawei Ascend chips — the 910B, 910C and 910D — are subject to the guidelines. It maintains that these chips have been 'designed with certain US software or technology or produced with semiconductor manufacturing equipment that is the direct produce of certain US-origin software or technology, or both'. The punitive measure against the Chinese chip giant comes as policymakers in Washington have been left stunned by the pace Huawei developed these chips and started delivering advanced AI chip 'clusters' to clients in China. Threat to Nvidia Huawei claims its advanced AI chip cluster outperforms the comparable product made by US rival Nvidia. The Chinese system is made up of a large number of 910C chips. While these chips may not be able to match the performance of Nvidia chips individually, Huawei claims the chip cluster may offer superior performance collectively. US alarmed There is increasing concern in the US that China's leading AI company might soon sell AI processors in China and abroad, competing with products from Nvidia and other American companies. Last month, Nvidia's CEO Jensen Huang described Huawei as 'one of the most formidable technology companies in the world' and mentioned that US policies should support his company in competing globally. The announcement coincided with Trump's visit to Saudi Arabi a, where he revealed several deals, including a promise by the kingdom's new state-owned AI company, Humain, to build AI infrastructure using hundreds of thousands of Nvidia chips.
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Business Standard
14-05-2025
- Business
- Business Standard
US declares global use of Huawei AI chips a violation of its export laws
US President Donald Trump's administration has intensified its crackdown on Huawei, issuing global warnings on Tuesday (May 13) that any use of the Chinese technology giant's artificial intelligence (AI) chips could trigger criminal penalties under US export control laws. The guidance, issued by the US Department of Commerce's Bureau of Industry and Security (BIS), clarified that Huawei's Ascend processors, specifically the 910B, 910C, and 910D, are subject to strict export controls because they are believed to be designed or manufactured using US-origin technology. The BIS stated, 'Using Huawei Ascend chips anywhere in the world violates US export controls.' The announcement serves as a public confirmation rather than a new regulation. It reinforces existing export laws that prohibit the use of US technology by blacklisted entities without proper licensing. Why are Huawei's Ascend chips under scrutiny? The BIS explained that the targeted Ascend chips are 'likely to have been designed with certain US software or technology or produced with semiconductor manufacturing equipment that is the direct product of certain US-origin software or technology, or both.' The move follows growing US concerns over Huawei's rapid advancement in AI and semiconductor development. The Shenzhen-based company has started delivering AI chip clusters in China, built primarily with 910C chips. While each chip individually underperforms compared to Nvidia's leading models, Huawei claims its clusters surpass Nvidia's in overall compute and memory performance. How are Chinese firms responding to the ban? With access to US technology restricted, Chinese companies have turned to Huawei's Ascend processors as substitutes for Nvidia products. Demand is surging as Huawei ramps up local production capabilities and constructs its own advanced semiconductor manufacturing lines. The Financial Times reported that the company's strategy of mass-scale clustering aims to circumvent individual chip performance gaps while asserting dominance in China's domestic AI infrastructure buildout. What is the global impact of these export control measures? The latest guidance expands the geographic scope of restrictions already in place since 2019, when the US government placed Huawei on its 'entity list', barring American firms from supplying the company without a license. These controls were later extended to foreign firms using US technology to make chips for Huawei. Outside China, Huawei has lost ground in telecom contracts due to bans and restrictions by several countries, benefitting competitors such as Samsung, Ericsson, and Nokia. Why has Huawei been a long-standing target for the US? US distrust toward Huawei dates back nearly two decades, stemming from suspicions of espionage and intellectual property theft. While Huawei has consistently denied allegations, concerns have lingered due to the company's ties to China's military and the Communist Party. Key past actions include: > IP disputes: Cisco sued Huawei in 2003 for code copying; a 2017 US jury found Huawei guilty of stealing T-Mobile's tech. > Sanctions violations: Huawei's CFO Meng Wanzhou was arrested in 2018 for allegedly evading Iran sanctions. >Trade bans: Since 2012, the US has banned Huawei gear from federal networks, a stance expanded under the 2019 National Defense Authorization Act. > Export controls: Trump's 2019 inclusion of Huawei in the entity list was followed by a global push to block its 5G role and chip access. Can Huawei recover from the global restrictions? However, despite severe disruptions, Huawei has shown resilience by increasing its smartphone market share in China and pivoting towards homegrown innovation. The company's emphasis on domestic production and strategic expansion into AI clusters suggests a long-term bet on self-reliance, even as it remains largely shut out of Western markets. Still, the 2025 restrictions further isolate Huawei's cutting-edge technologies from global integration, especially in AI, where compute-heavy infrastructure is vital.
Yahoo
13-05-2025
- Business
- Yahoo
Nvidia shareholders shouldn't worry about China news, says analyst
This week began with a major announcement from one of China's most prominent tech leaders. Huawei revealed plans that could severely compromise Nvidia's () position as the market's dominant chipmaker. Since the launch of ChatGPT kicked off the current AI revolution in November 2022, Nvidia has enjoyed the position as the field's undisputed leader. Its highly priced graphics processing units (GPUs) have helped power many tech companies' AI innovations, becoming a bedrock of the industry. 💵💰Don't miss the move: Subscribe to TheStreet's free daily newsletter 💰💵 Even as other companies have scrambled to build their own in-house chips and lessen their dependence on Nvidia, the chipmaker has enjoyed mostly stable growth until 2025. Now, as geopolitical tensions threaten U.S.-China trade relations, Huawei is making a move that could threaten Nvidia's share of a booming tech market. However, one analyst recently made the case for why investors shouldn't worry about NVDA stock, even if Huawei's chip progress continues. For years, as Nvidia has surged to the top of the red-hot AI market, experts have wondered if its growth can last and for how long it can maintain its sizable market share. Ultimately, most stocks garnering that type of momentum reach their peak and end up trading at a more sustainable January 2025, Nvidia faced its first major challenge when Chinese AI startup DeepSeek released a large language model (LLM) built on less advanced chips, triggering a massive selloff for NVDA and its peers as experts speculated that a shift could be coming. Now Huawei is getting to start testing the Ascend 920, a chip it believes can be more powerful than the Nvidia H100, a popular GPU used by companies such as Tesla and Meta. NVDA stock initially fell on news of this development and is having a hard time recovering. 'The Ascend 920, using SMIC's 6-nanometer technology, would be the successor to Huawei's 910C and 910D,' reports TheStreet's Todd Campbell. 'The 910 series is historically built on 7-nanometer technology. The 920 may offer performance that rivals Nvidia's H20, while the 910C and 910D rival Nvidia's popular H100 chip performance.' This may seem like bad news for Nvidia, as the company could be about to have a new competitor with a clear advantage in the Chinese market. But Richard Windsor, founder of market research firm Radio Free Mobile, recently stated that any panic over the Huawei news may be overblown. In a note published on April 28, Windsor laid out exactly why he believes Nvidia won't be severely impacted, even if Huawei can produce AI chips that appeal to domestic buyers in the Chinese market. 'While this is not going to hurt the prospects for Chinese AI in China, it is the rest of the world that will determine whether U.S. attempts to isolate China are successful,' he states. 'Here, I see a substantial disadvantage for Chinese AI when trying to win hearts and minds outside of China, as it will be both more expensive and come with the usual strings attached.' More Nvidia News:Quantum computing leader has blunt, 9-word take on Nvidia stockFor that reason, he doesn't see a future in which Nvidia and Huawei are competing directly outside of China. This leads him to conclude that any concern among investors over the former losing a substantial part of its market share is likely overblown. Huawei's new AI chip is slated for release later in 2025, and when it makes its debut, NVDA stock could easily dip on the news. However, Huawei has released other Ascend chips in previous years, and Nvidia hasn't been severely that reason, Windsor believes that Nvidia can recover from its current state and continue to thrive in the current AI market, even as it becomes increasingly crowded. No chipmaker has been able to dethrone it so far, and Nvidia is as focused as ever on expanding into areas such as robotics and supercomputer manufacturing. 'The only real threat that I see to Nvidia here is in China, where the state's control over the private sector may ensure a switch away from Nvidia's CUDA, with developers learning how to use Huawei's development platforms instead,' Windsor states. Compute Unified Device Architecture (CUDA) refers to a parallel computing platform created by Nvidia that lets developers accelerate their general-purpose computing by harnessing GPUs. The analyst notes that such a scenario could impact Nvidia, as China accounts for a significant portion of its revenue. But, he adds, "What Nvidia loses from one hand it may gain with the other,' as China isn't likely to rival it in international in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
29-04-2025
- Business
- Time of India
Chinese company designated as 'National Security Threat' in the US takes on Nvidia with AI chip
Chinese manufacturer Huawei was labeled as a 'national security threat' by the US in 2020. Now, according to a report by WSJ, Huawei is now developing a new and powerful artificial intelligence processor which will compete with some of the high-end AI chips produced by American chip manufacturer Nvidia. Tired of too many ads? go ad free now The report also adds that Huawei is preparing to test the latest series chip, the 910D. Huawei aims for its latest processor, the Ascend 910D , to match the performance of Nvidia's widely acclaimed H100 AI training chip, launched in 2022. The company has reportedly engaged several Chinese tech firms to assess the processor's capabilities, with initial samples anticipated by late May. Huawei to give competition to Nvidia This development underscores the resilience of China's semiconductor industry despite ongoing efforts by the U.S. government to impede its progress through trade restrictions and limitations on access to Western chip-making technology. Huawei, despite being on a U.S. trade blacklist for nearly six years, has emerged as a key player in China's push for self-sufficiency in critical technology sectors. The company previously demonstrated its ability to overcome some U.S. sanctions with the release of its advanced Mate 60 smartphone in 2023, powered by a domestically produced processor. The report also mentions that the Huawei Ascend 910D uses some advanced packaging technologies which integrate multiple silicon dies resulting in a faster and better performance. Huawei aims that its new chip will surpass the H100 chipset from Nvidia in terms of power. The report also adds that the Huawei 910D is more power-intensive and energy efficient as compared to Nvidia. The move comes at a time when the US continues to tighten restrictions on semiconductor exports to China. Tired of too many ads? go ad free now Earlier this month, Nvidia's H20 chip, the most advanced processor the company could sell in China without a license, was added to the list of restricted semiconductors. This creates an opportunity for Chinese rivals like Huawei and Cambricon Technologies to gain ground in the domestic market. Huawei on track with Ascend chipset manufacturing Despite facing manufacturing hurdles and being cut off from key global suppliers like Taiwan Semiconductor Manufacturing Company (TSMC) for advanced chip production, Huawei is reportedly on track to ship over 800,000 of its earlier Ascend 910B and 910C chips this year to major customers, including state-owned telecommunications companies and AI developers like ByteDance (TikTok's parent company). Sources also indicate increased interest in Huawei's 910C chips following recent US restrictions on Nvidia's H20. While previous Huawei AI chips , including the 910C which was marketed as comparable to the H100, have reportedly fallen short of Nvidia's performance in real-world testing, the development of the 910D signifies China's continued determination to close the gap in the crucial AI chip sector. Analysts suggest that while Chinese AI chips may currently lag behind Nvidia's top-tier offerings in individual performance and power efficiency, the ability to deploy them in large clusters could provide a competitive edge within China's domestic market, especially given Beijing's push for local AI developers to prioritize domestic chip procurement. Here's why was Huawei labeled as national security threat in the US Huawei was banned in the US primarily due to national security concerns. The US government alleged that Huawei's close ties to the Chinese government and military posed risks, including potential espionage and unauthorised data access. These concerns were heightened by Huawei's role in developing telecommunications infrastructure, such as 5G networks, which could be exploited for surveillance. Additionally, Huawei faced accusations of violating US sanctions by conducting business with Iran and engaging in intellectual property theft. In 2019, the US placed Huawei on its "Entity List," restricting American companies from doing business with Huawei without government approval. In 2020, FCC also affirmed the designation of Huawei as a national security threat. In an order passed on June 30, 2020, FCC designated Huawei as well as its parents, affiliates, and subsidiaries, as posing a national security threat to the safety of communications networks and the communications supply chain. In the June order, the Commission's Public Safety and Homeland Security Bureau formally designated Huawei as a covered company for purposes of the agency's November 2019 ban on the use of support from the Commission's Universal Service Fund to purchase equipment or services from companies posing a national security threat.
Miami Herald
28-04-2025
- Business
- Miami Herald
Surprising China news sends Nvidia stock tumbling
Nvidia's stock price has soared since OpenAI's ChatGPT became the fastest app to reach one million users in 2022. ChatGPT's success unleashed a torrent of artificial intelligence research and development, forcing a major overhaul of enterprise and cloud network infrastructure. Nvidia, the leading maker of graphics processing units, or GPUs, ideally suited to training and operating AI apps has been the biggest beneficiary of the spending tsunami. Related: Veteran fund manager resets stock market forecast after oversold rally Nvidia's revenue has soared, and because its AI GPUs are highly profitable, its earnings have similarly skyrocketed, helping lift its shares by 171% in 2024 alone. While companies are expected to continue investing in AI apps this year, Nvidia has been dealt a series of blows this year that have caused its share price to tumble, including news out of China over the weekend that further challenges its AI-chip leadership. Nvidia dominates the semiconductor chip market for AI research and development worldwide, but growing tensions between the U.S. and China have caused its sales to slump in the Middle Kingdom. Worries that China might use next-generation technology like AI against the U.S. someday have increased over the past few years, prompting significant restrictions on U.S. technology exports, including Nvidia's AI chips. Related: Billionaire fund manager sends blunt message on S&P 500 bear market risk Initially, Nvidia was able to engineer AI chips that met export restrictions, helping it maintain revenue there. However, that's become increasingly difficult as restrictions have tightened. As a result, Nvidia's sales in China have declined sharply. Nvidia CEO Jensen Huang says sales are "about half of what it was before the export control." Last month, news broke out that President Trump's administration was strengthening export restrictions and effectively shut off Nvidia's H20 chip exports, specifically designed for that market. The change led Nvidia to surprise the market by announcing it would take a $5.5 billion write-off in the first quarter on its remaining H20 inventory. The loss of a key market came alongside President Trump's announcement of reciprocal tariffs on China, which started a trade war. The tit-for-tat has increased U.S. tariffs on Chinese imports to 145% and China's U.S. imports to 125%-high enough to effectively curb trade between the two major economies. The company's China headaches have contributed to Nvidia's stock price falling about 20% this year. As if the challenges weren't steep enough, Nvidia's Chinese competitor, Huawei, has announced a new AI chip to challenge Nvidia's dominance. Related: Analysts revise Nvidia price target on chip demand Huawei is a major manufacturer of technology ranging from computer chips to smartphones, with revenues near $100 billion and over 200,000 employees. The Ascend 920, using SMIC's 6-nanometer technology, would be the successor to Huawei's 910C and 910D. The 910 series is historically built on 7-nanometer technology. The 920 may offer performance that rivals Nvidia's H20, while the 910C and 910D rival Nvidia's popular H100 chip performance. The 920 chip is expected in late 2025. Until then, the Wall Street Journal reports testing on the 910D will begin in May, and the company says its 910C production will ramp in the second half to potentially meet demand for AI chips from Chinese high-tech companies ByteDance, Alibaba, and Tencent. The possibility that Huawei could permanently fill the void left by Nvidia before Nvidia can craft a new solution for the Chinese market could mean billions of dollars in lost revenue. Nvidia's shares are down over 3% at 2:30 pm EST Related: Veteran fund manager unveils eye-popping S&P 500 forecast The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
