Nvidia Navigates US-China AI Trade Turbulence
Nvidia reported a remarkable 69% sales growth but warned of challenges due to the US-China tech conflict. This includes potential impacts from new restrictions on open-source AI models and export curbs. Nvidia CEO Jensen Huang emphasized the importance of maintaining US leadership in AI despite the curbs affecting revenue.
Nvidia has reported an impressive 69% growth in sales, yet acknowledges new challenges arising from the ongoing technology conflict between the US and China. These include restrictions affecting open-source AI models from China and US regulations on connected vehicle technology, which may impact Nvidia's business.
CEO Jensen Huang praised former President Trump's export rule revisions, calling attention to the lack of a replacement regulation that might alter Nvidia's operations. Criticizing new curbs by the Trump administration, Huang cited a $2.5 billion loss in the first fiscal quarter due to the halted sale of Nvidia's H20 chip to China.
Nvidia forecasts second-quarter sales close to analysts' predictions and anticipates growth, despite hurdles. The company's engagement in Saudi Arabia, the UAE, and Taiwan reflects confidence in growth prospects beyond the trade tensions, proving America's capacity to lead in the AI sector.
(With inputs from agencies.)
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