China Raises Security Concerns Amid Renewed Nvidia Chip Sales
China scrutinizes Nvidia's H20 AI chip for potential security risks following the reversal of a U.S. export ban. This move highlights ongoing tensions in U.S.-China relations, as China questions the chip's data privacy implications. Nvidia, central to these diplomatic dynamics, faces multiple regulatory challenges in China.
China has heightened its scrutiny over Nvidia's H20 artificial intelligence chip, increasing uncertainty around the U.S. tech giant's sales prospects within the country. This development unfolds weeks after the U.S. reversed its export ban on the chip.
The Cyberspace Administration of China expressed concerns regarding the chip's potential security risks, particularly its tracking and positioning features. Chinese authorities summoned Nvidia for a meeting, seeking clarification on whether the chip poses a data privacy threat to Chinese users.
Nvidia, currently under Chinese antitrust investigation, has not yet provided comments. Despite these tensions, demand for the chip remains robust, with Nvidia placing a significant order with TSMC.
(With inputs from agencies.)
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