Stock prices fall as it is reported that NVIDIA will postpone the release of its high-performance AI chip 'H20' that circumvents export regulations to China until the first quarter of 2024
The United States has severely restricted the export of high-performance semiconductors to China, but semiconductor companies such as NVIDIA have continued to manufacture semiconductors with the very best performance that does not violate export regulations and export them to China. However, on November 24, 2023, the major news agency Reuters reported that ``NVIDIA plans to postpone the release of high-performance chips for China'', leading to a decline in NVIDIA's stock price.
Exclusive: Nvidia delays launch of new China-focused AI chip -sources | Reuters
Nvidia stock down as it reportedly delays new China AI chip
https://www.cnbc.com/2023/11/24/nvidia-shares-fall-as-it-reportedly-delays-new-china-ai-chip.html
The United States recognizes AI research and development in China as a military threat, and in 2022 began restricting the export of AI chips that exceed a certain level of performance . Semiconductor companies such as NVIDIA have been developing ``versions of high-performance AI chips that suppress the performance to the extent that they will not be subject to export regulations'' in order to continue selling to China, but in October 2023, further regulations will be imposed. As enhancements were announced, it became difficult to sell the limited performance version to China.
The US tightens restrictions on AI chip exports to China, making it difficult to export NVIDIA chips - GIGAZINE
Nevertheless, NVIDIA is proceeding with the development of AI chips that can avoid regulations while maintaining a certain level of performance, and plans to release AI chips 'H20', 'L20', and 'L2' to China on November 9, 2023. was reported. Among the AI chips scheduled to be introduced, 'H20' is said to have 20% improved LLM inference performance compared to the AI chip 'H100' whose export will be regulated in 2022, so will NVIDIA be able to successfully avoid regulations? Attention was focused on whether or not.
Reports say that NVIDIA plans to introduce three new H100-based AI chips to China within the next few days, highlighting a desperate attempt to avoid export restrictions - GIGAZINE
Meanwhile, on November 24, 2023, Reuters reported from two sources that ``NVIDIA has informed Chinese customers that the release of H20 is scheduled to be postponed until the first quarter of 2024.'' According to Reuters, the reason for the postponement is 'server manufacturers are having issues with chip integration.' It is also said that L20 is scheduled to be released without being postponed, and no information was obtained regarding L2.
In addition, as of the close of trading on November 24, 2023, NVIDIA's stock price has fallen 1.9% from the previous day, perhaps in response to the report.
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in Hardware, Posted by log1o_hf