China has barred its technology companies from buying Nvidia’s artificial intelligence (AI) chips in what appears to be part of China’s efforts to strengthen its domestic semiconductor industry and reduce reliance on US technology, the Financial Times reported on Wednesday.
According to the report, the Cyberspace Administration of China (CAC) instructed companies this week, including ByteDance and Alibaba, to stop testing and ordering Nvidia’s RTX Pro 6000D, a chip designed specifically for China, after US export restrictions prevented the sale of more powerful models.
However, Beijing has yet to issue an official statement confirming a ban on the purchase of tech giant Nvidia’s AI chips.
Meanwhile, Nvidia CEO Jensen Huang on Wednesday expressed disappointment with the reported decision to ban his company’s chips, according to CNBC.
“We can only be in service of a market if the country wants us to be,” Huang said in a press briefing in London.
“We probably contributed more to the Chinese market than most countries have. And I’m disappointed with what I see,” Huang said. “But they have larger agendas to work out between China and the US, and I’m understanding of that.”
The latest report comes after Huang said last month that he is in talks with the Trump administration about selling Blackwell chips to China, as the company seeks ways to enter the Chinese market following restrictions.
Huang added that he is “optimistic” about negotiations with the administration, but that there is no timetable for reaching an agreement.
As Nvidia’s second-quarter earnings showed no sales of H20 chips to China, Huang said the company has not yet received orders, adding, “But we’re hoping for orders.”
In April, Washington restricted Nvidia’s advanced H20 chip sales to China, escalating a tech war with Beijing. However, in July, the US reversed course, promising to lift the licensing restrictions and allow sales.
Later, Beijing reportedly urged local companies to avoid using Nvidia’s H20 processors, especially for government purposes.
