Latest news with #Huang
Asahi Shimbun
an hour ago
- Automotive
- Asahi Shimbun
Nvidia to resume sales of highly desired AI computer chips to China
The NVIDIA logo is seen near a computer motherboard in this illustration taken on Jan. 8, 2024. (REUTERS) BANGKOK--Nvidia's CEO Jensen Huang says the technology giant has won approval from the Trump administration to sell its advanced H20 computer chips used to develop artificial intelligence to China. The news came in a company blog post late Monday, which stated that the U.S. government had 'assured' Nvidia that licenses would be granted — and that the company 'hopes to start deliveries soon.' Shares of the California-based chipmaker were up over 4% by midday Tuesday. Huang also spoke about the coup on China's state-run CGTN television network, in remarks shown on X. 'Today, I'm announcing that the U.S. government has approved for us filing licenses to start shipping H20s,' Huang told reporters in Beijing. He added that half of the world's AI researchers are in China. 'It's so innovative and dynamic here in China that it's really important that American companies are able to compete and serve the market here,' he said. Huang recently met with President Donald Trump and other U.S. policymakers — and is in Beijing this week to attend a supply chain conference and speak with Chinese officials. The broadcast showed Huang meeting with Ren Hongbin, the head of the China Council for Promotion of International Trade, host of the China International Supply Chain Expo, which Huang was attending. Nvidia is an exhibitor. Nvidia has profited enormously from the rapid adoption of AI, becoming the first company to have its market value surpass $4 trillion last week. However, the trade rivalry between the U.S. and China has been weighing heavily on the industry. Here's what we know. The H20 graphics processing unit, or GPU, is an advanced AI chip — a type of device used to build and update a range of AI systems. But it's less powerful than Nvidia's top semiconductors today. That's because the H20 chip was developed to specifically comply with U.S. restrictions for exports of AI chips to China. Nvidia's most advanced chips, which carry more computing power, are off-limits to the Chinese market. Washington has been tightening controls on exports of advanced technology to China for years, citing concerns that know-how meant for civilian use could be deployed for military purposes. And in January, before Trump began his second term in office, President Joe Biden's administration launched a new framework for exporting advanced computer chips used to develop AI — in an attempt to balance national security concerns about the technology with the economic interests of producers and other countries. Restrictions on sales of advanced chips to China have been central to the AI race between the world's two largest economic powers, but such controls are also controversial. Proponents argue that these restrictions are necessary to slow China down enough to allow U.S. companies to keep their lead. Meanwhile, opponents say the export controls have loopholes — and could still spur innovation. The emergence of China's DeepSeek AI chatbot in January particularly renewed concerns over how China might use advanced chips to help develop its own AI capabilities. In April, the White House announced that it would restrict sales of Nvidia's H20 chips to China — as well as MI308 chips from rival chipmaker Advanced Micro Devices — with the Trump administration again citing national security. At the time, Nvidia said these tighter export controls would cost the company an extra $5.5 billion — and Huang and other technology leaders have been lobbying Trump to reverse the restrictions since. They've argued that such limits hinder U.S. competition in a sector in one of the world's largest markets for technology and have also warned that U.S. export controls could end up pushing other countries toward China's AI technology. Monday's announcement from Nvidia signals that its lobbying efforts paid off. White House AI and crypto adviser David Sacks told Bloomberg on Tuesday that allowing Nvidia to restart Chinese sales of its H20 chip would help the U.S. better compete abroad — particularly with Chinese chipmaker Huawei Technologies. Meanwhile, Commerce Secretary Howard Lutnick told CNBC on Tuesday that the renewed sale of H20 chips in China was linked to a trade agreement made between the two countries on rare earth magnets — and maintained that the administration was also reversing course from April's restrictions because the U.S. still doesn't sell China 'our best stuff.' Still, calls for restrictions on advanced chip exports to China have persisted among U.S. lawmakers on both sides of the aisle. Just last week, Sens. Elizabeth Warren and Jim Banks wrote a letter to Huang noting that the hardware powering advanced AI 'is of immense strategic importance' — and again warned that this kind of technology could be used to accelerate Beijing's effort to modernize its military if exported freely. U.S. lawmakers have also proposed that chips subject to export controls should be tracked, to ensure they don't end up in the wrong places. Beyond export controls, California-based Nvidia — like other tech giants today — has been caught in the crosshairs of Trump's tariff wars abroad, particularly amid America's tit-for-tat levies with China. But Beijing and Washington recently agreed to pull back some non-tariff restrictions. China says it's approving permits for rare earth magnets to be exported to the U.S., while Washington has lifted curbs on chip design software and jet engines. Nvidia and its CEO have also garnered Trump's favor in recent months. In April, the company announced that it would be producing its AI chips in the U.S. for the first time, starting with more than one million square feet of manufacturing space to build and test its specialized Blackwell chips in Arizona and AI supercomputers in Texas. Trump was quick to applaud Nvidia's move. He introduced Huang as a 'smart cookie' who was helping bring jobs to the U.S. at an 'Investing in America' event held at the White House later that month. Similar to Nvidia, AMD is now also poised to restart Chinese sales of its MI308 chips. The California-based company said in a statement that the Commerce Department was moving forward with license applications for these exports to China, and that it plans to resume shipments as those licenses are approved.
Business Times
2 hours ago
- Business
- Business Times
Larry Ellison overtakes Mark Zuckerberg as world's second-richest person
[NEW YORK] Larry Ellison is the world's second-wealthiest person for the first time ever, according to the Bloomberg Billionaires Index, as a red-hot rally in Oracle's share price has catapulted his net worth to US$251.2 billion. Oracle has been a key winner as investors have piled into artificial intelligence (AI) stocks. The company's shares have nearly tripled since ChatGPT was released to the public in November 2022, but it's been on a particular tear over the past three months, with the stock gaining more than 90 per cent since late April as the computing provider recorded surging revenues and inked key partnerships. Oracle's shares rose 5.7 per cent on Tuesday (Jul 15) on news that the US government would allow chipmakers including Nvidia and Advanced Micro Devices to export some semiconductors to China, reversing Biden-era restrictions. That pushed Ellison, 80, ahead of Mark Zuckerberg on Bloomberg's wealth index. More than 80 per cent of Ellison's wealth is in the form of Oracle stock and options. In the past few months alone, Oracle has tallied tens of billions of US dollars in cloud computing contracts and announced it's developing gigawatts of data centre power to serve enterprise clients including OpenAI, which rented a massive amount of additional capacity earlier this month as part of the companies' Stargate initiative with SoftBank Group. Its revenue last quarter blew by estimates, with chief executive officer Safra Catz saying that 'FY26 will be even better'. Ellison is planning new ways to leverage his soaring wealth. On Tuesday, he announced in a post on X that he would be amending his support for the Giving Pledge to concentrate more of his resources on the Ellison Institute of Technology, an interdisciplinary technical institute that's partnered with the University of Oxford. The institute, which was founded in 2023, focuses on innovating in diverse fields including health, agriculture, clean energy and AI. Nvidia CEO Jensen Huang's wealth has also been boosted by a recent run-up in his company's stock: Huang overtook Warren Buffett to move into ninth place on Bloomberg's rich list for the first time on Friday, where he's remained since. Nearly all of Huang's wealth is in Nvidia equity, according to Bloomberg's wealth index. Elon Musk is still the world's richest person, according to Bloomberg's wealth index, with a net worth of US$357.8 billion. BLOOMBERG
Khaberni
3 hours ago
- Automotive
- Khaberni
H20 Chip Returns to the Chinese Market—A Smart Victory for NVIDIA in the Technology Race
Khaberni -The American tech giant NVIDIA announced Tuesday that it will resume selling H20 artificial intelligence chips to China after the United States committed to lifting licensing restrictions that had halted exports. NVIDIA, headquartered in California, produces some of the world's most advanced semiconductors, but it is prohibited from exporting some of its advanced chips to China, fearing they could be used by Beijing to develop military capabilities. The company developed the "H20," a less powerful version of its artificial intelligence processing units, specifically for export to China. However, this was frozen after President Donald Trump's administration tightened export licensing requirements in April. According to the "Agence France-Presse," the company said in a statement on Tuesday that it had submitted "applications to resell the NVIDIA H20 graphics processing unit." The company added, "The U.S. government has confirmed for NVIDIA that licenses will be granted, and NVIDIA hopes to begin deliveries soon." The company's CEO Jensen Huang said in a video broadcast by China's official "CCTV" channel on Tuesday, "The U.S. government has authorized us (to submit) licenses to begin shipping H20, so we will start selling it to the Chinese market." He added, "I look forward to shipping H20 very soon, and I am very pleased with this very good news." Chinese expert Zhang Gupin noted that the resumption of exports will achieve "significant revenue growth for NVIDIA, offsetting losses it incurred due to the previous ban." He told Agence France-Presse that this move will also alleviate trade tension concerning global semiconductor supply chains. However, he emphasized that Chinese companies will continue to focus on developing chips locally, pointing out that "Trump's administration was prone to sudden policy shifts, making it difficult to assess the sustainability of such openness." The official Chinese channel reported in a report that Huang will attend a crucial assembly related to supply chains on Wednesday, during his third visit to the country this year, according to "CCTV." China is a vital market for NVIDIA. However, U.S. export restrictions in recent years have placed the company in fierce competition with local groups such as Huawei. Huang, an electrical engineer, told Chinese Deputy Prime Minister He Lifeng during his visit to Beijing in April that he "views the potential of the Chinese economy positively," according to Xinhua News Agency. The official Chinese agency quoted Huang as saying that he "is ready to continue engaging in the Chinese market and playing a positive role in promoting trade cooperation between the United States and China." The U.S. restrictions came at a time when the Chinese economy was suffering from local consumer hesitation in spending and a deep crisis in the real estate sector affecting growth. President Xi Jinping has urged making China more self-reliant amid rising uncertainties in external factors. The "Financial Times" reported in May that NVIDIA plans to build a research and development center in Shanghai, China. Neither the company nor city authorities confirmed these reports to Agence France-Presse at the time. Two sources told Reuters that Chinese companies are rushing to buy NVIDIA's H20 artificial intelligence chips, which the company said it plans to resume selling to mainland China. The White House, which had previously expressed concern that the Chinese military could use the AI chips in weapon development, did not respond to a request for comment. The sources said that Chinese companies had rushed to apply to purchase the chips, which NVIDIA must submit to the U.S. government for approval. They added that the giant Chinese companies ByteDance and Tencent are in the process of submitting applications. One of the sources said that a pivotal aspect of this process is the "whitelist" created by NVIDIA for Chinese companies to register for potential purchasing operations. Neither ByteDance nor Tencent responded to requests for comment. NVIDIA also did not respond to a request for comment on the "whitelist." NVIDIA, which criticized the export restrictions imposed by President Donald Trump's administration in April that prevented it from selling H20 chips in China, said it had developed a new model specifically designed to comply with regulatory rules in the Chinese market. This step to resume chip sales comes amid easing tensions between the United States and China as Beijing relaxed restrictions on the export of rare earth metals, and the United States allowed the resumption of chip design software services in China. Qi Hui, the semiconductor research director at Omdia, said, "The uncertainty between the United States and China remains high, and Chinese companies will continue to diversify their options to better protect the integrity of their supply chain despite the cessation of the ban on the H20 chip." NVIDIA developed these chips specifically for the Chinese market after the United States imposed export restrictions for national security reasons in late 2023. Matt Britzman, a senior equity analyst at Hargreaves Lansdown, said that the possibility of new licenses could increase NVIDIA's revenues by between $15 billion and $20 billion this year, depending on when the licenses are granted and how quickly they are issued. According to the latest annual report from NVIDIA, the company's revenues from China were $17 billion in the year ended January 26, which represents 13 percent of total sales.
Qatar Tribune
6 hours ago
- Automotive
- Qatar Tribune
Nvidia to resume H20 chip sales to China
Agencies U.S. tech giant Nvidia said on Tuesday it planned to resume sales of its H20 artificial intelligence chips to China soon, citing Washington's pledge to remove licensing curbs that had halted exports. The California-based firm produces some of the world's most advanced semiconductors but is not allowed to ship its most cutting-edge chips to China owing to concerns that Beijing could use them to boost its military capabilities. It developed the H20 – a less powerful version of its AI processing units – specifically for export to China, although that plan hit the skids when the Trump administration firmed up export licence requirements in April. The company said in a statement on Tuesday that it was 'filing applications to sell the Nvidia H20 GPU again.' 'The U.S. government has assured Nvidia that licences will be granted, and Nvidia hopes to start deliveries soon,' the statement said. Nvidia CEO Jensen Huang said in a video published by Chinese state broadcaster CCTV on Tuesday that 'the U.S. government has approved for us (to file) licences to start shipping H20s, and so we will start to sell H20s to the Chinese market.' 'I'm looking forward to shipping H20s very soon, and so I'm very happy with that very, very good news,' Huang, wearing his trademark black leather jacket, told a group of reporters. Zhang Guobin, founder of the Chinese specialist website said the resumption would 'bring (Nvidia) substantial revenue growth, making up for the losses caused by the previous ban.' It would also ease the impact of trade frictions on the global supply chain for semiconductors, he told Agence France-Presse (AFP). But he said Chinese firms would remain focused on domestic chip development, adding that 'the Trump administration has been... prone to abrupt policy shifts, making it difficult to gauge how long such an opening might endure.' Huang will attend a major supply chain gathering on Wednesday, the event organizer confirmed to AFP. It will be his third trip to China this year, according to CCTV. China is a crucial market for Nvidia, but in recent years, the U.S. export squeeze has left it battling tougher competition from local players such as homegrown champion Huawei. Beijing has decried Washington's curbs as unfair and designed to hinder its development. Huang, an electrical engineer, told Chinese Vice Premier He Lifeng on a visit to Beijing in April that he 'looked favourably upon the potential of the Chinese economy,' according to Xinhua News Agency. He said he was 'willing to continue to plough deeply into the Chinese market and play a positive role in promoting U.S.-China trade cooperation,' Xinhua reported. The tightened U.S. export curbs have come as China's economy wavers, with domestic consumers reluctant to spend and a prolonged property sector crisis weighing on growth. Chinese President Xi Jinping has called for China to become more self-reliant as uncertainty in the external environment increases. The Financial Times reported in May that Nvidia was planning to build a research and development centre in Shanghai. Neither Nvidia nor the city's authorities confirmed the project to AFP at the time. China's economy grew 5.2% in the second quarter of the year, official data showed on Tuesday, after analysts predicted strong exports despite trade war pressures.
Newsweek
6 hours ago
- Automotive
- Newsweek
Nvidia in for Big Win in China Amid US Tech War
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. Nvidia says it expects U.S. government approval to export advanced artificial intelligence (AI) chips to the Chinese market. The green light would be a breakthrough for the chipmaker after months of navigating controls on semiconductor technology aimed at slowing China's progress on AI technologies with military applications. Newsweek reached out to the White House via written request for comment. Why It Matters China is a critical market for Nvidia, accounting for about 15.5 percent of its business as of April. That month, the White House said a special license would be required to export Nvidia's H20 GPU—a chip widely viewed as having contributed to the development of the Chinese AI model DeepSeek. Just days later, U.S. President Donald Trump said delivery of "all necessary permits" would be expedited after the tech giant announced a $500 billion investment in supercomputer production in the U.S. What To Know Nvidia's new chips, including the Blackwell series and a repurposed H20, are designed to comply with U.S. export rules, the company has said. CEO Jensen Huang continued his public relations offensive last week in Washington, D.C. Jensen Huang, cofounder and CEO of Nvidia Corp., attends the VivaTech trade show in Paris on June 11. Jensen Huang, cofounder and CEO of Nvidia Corp., attends the VivaTech trade show in Paris on June 11. Getty Images In meetings with policymakers and Trump, Huang pledged that Nvidia remained committed to the administration's efforts to create jobs and bolster onshore manufacturing and domestic AI infrastructure, the company said in a statement published Monday. The government has given assurances that licenses to sell the H20 GPU would be granted, Nvidia said, adding that it hopes to resume deliveries soon. "General-purpose, open-source research and foundation models are the backbone of AI innovation. We believe that every civil model should run best on the U.S. technology stack, encouraging nations worldwide to choose America," Huang said. Nvidia shares closed at a record $170.70 on Tuesday after rising more than 4 percent in early trading. What People Have Said Lin Jian, Chinese Foreign Ministry spokesperson, said during Tuesday's press briefing: "I would like to point out that China's opposition to politicizing, instrumentalizing and weaponizing tech and trade issues and malicious attempts to blockade and keep down China is consistent and clear. These actions will destabilize the global industrial and supply chains, and serve no one's interests." Lia Holmgren, independent trader and trading coach, wrote on X: "$NVDA does it again, this move is unreal. Another all-time high today, and the stock tacked on $200B in market cap like it was nothing. Nvidia's now worth $4.1 trillion, that's 3.6 percent of global GDP." What's Next The resumption of H20 chip exports could unlock billions in revenue for Nvidia, currently the world's largest company by market cap, and shape the contours of the global AI industry, projected to be worth $50 billion by the end of the decade.
