Summary
The U.S. government is allowing the sale of Nvidia's H200 chips to certain customers in China while keeping the most advanced chips restricted. This plan aims to create a dependency on American technology, allowing the U.S. to maintain control over AI advancements. However, China may limit the use of these chips, encouraging reliance on domestic alternatives.
Key Facts
- The U.S. allows sales of Nvidia's H200 chips to approved Chinese buyers.
- The U.S. government will take a 25% revenue share from these sales.
- The goal is to create dependency on Nvidia's software, which the U.S. can control.
- Nvidia's CEO is uncertain if China will allow the purchase of H200 chips.
- Chinese regulators might restrict the import of H200 chips despite U.S. approval.
- The U.S. aims to prevent China from accessing top-tier AI chips for national security reasons.
- China’s domestic competitor to H200 is Huawei’s Ascend 910C, which is less powerful.
- There is bipartisan concern in the U.S. over potential risks of selling advanced AI chips to China.
