Nvidia Slashes H20 AI Chip Power for China

Nvidia wants to keep selling AI chips in China despite American trade limits. The company plans a weaker version of its H20 processor with less memory coming out around July. This marks their third attempt to meet US rules for Chinese buyers.

Chinese companies need these AI devices but face competition from local maker Huawei and its Ascend chip. Nvidia CEO Jensen Huang traveled to China after earlier bans to show his firm's commitment to Chinese markets. The American chip maker also develops special Blackwell technology just for China. These moves prove China remains essential to Nvidia's business despite political problems.

Some wonder if Chinese tech giants will accept these slower chips when better options exist elsewhere. Huawei offers more freedom from American rules with its products. Nvidia must work hard to keep Chinese customers happy with these limited versions.
 

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