Summary
Chinese regulators have prohibited ByteDance, the owner of TikTok, from using Nvidia chips in new data centers. This action is part of China's effort to reduce reliance on U.S. technology as trade tensions between China and the U.S. continue. Nvidia, a U.S. chipmaker, has created a special chip for China, but demand has been low.
Key Facts
- Chinese regulators have stopped ByteDance from using Nvidia chips in new data centers.
- ByteDance purchased more Nvidia chips than any other Chinese company in 2025.
- China aims to lessen its dependence on U.S. technology.
- Washington has blocked sales of Nvidia's most advanced chips to China.
- China encourages local firms to use domestic AI chips instead.
- U.S. President Donald Trump stated that China can deal with Nvidia, but not for the most advanced chips.
- Nvidia created a specific chip for China, but it's not in high demand.
- Nvidia's stock increased by 1.8 percent in midday trading.
