Beautiful Virgin Islands

Thursday, Jun 26, 2025

New U.S. curbs on sales of Nvidia AI chips to China spark selloff

New U.S. curbs on sales of Nvidia AI chips to China spark selloff

New restrictions on exports of cutting-edge chips from Nvidia Corp (NVDA.O) to China have signaled an escalation of the U.S. crackdown on Beijing's technological prowess and alarmed investors already worried about an industry downturn.
Shares of Nvidia fell 11% to $133.46 on Thursday, wiping out more than $40 billion in market value and dragging the Philadelphia SE Semiconductor Index (.SOX) down by more than 4%.

The U.S. move to restrict exports of two of Nvidia's top computing chips for artificial intelligence - the H100 and A100 - to China could hurt the company's business in the key market, according to a filing on Wednesday.

The action by Washington comes as tensions rise over access to advanced chip technology and the future of Taiwan, where Nvidia and nearly all other big semiconductor companies source their chips from.

"On the surface, it looks like the U.S. government is looking to refrain from sales of next generation advanced chips, 7 nanometers and below, specifically for military end use in China," said CFRA Research analyst Angelo Zino.

Rival Advanced Micro Devices Inc (AMD.O) was also asked on Wednesday to stop AI chip exports to China.

The Nvidia and AMD chips targeted by Washington are used for AI and machine learning applications, particularly building training modules for tasks such as natural language processing.

These modules could be also be useful for militaries in modeling bomb simulations and designing weapons.

Market watchers say the restrictions are likely to hit a swathe of Chinese tech companies including Alibaba Group Holding Ltd (9988.HK), Tencent Holdings Ltd (0700.HK), Baidu Inc , and Huawei Technologies Co Ltd [RIC:RIC:HWT.UL].

Nvidia also said on Wednesday that the move could interfere with the development of its flagship H100 chip, which is expected to ship later this year.

On Thursday, it announced the U.S. government has allowed exports and tech transfer needed to complete the development of the H100 chip. U.S. officials have also authorized the company to perform exports needed to provide support for U.S. customers of A100 through March 1, 2023.

The company has also been allowed to fulfill orders of the chips via its Hong Kong facility through Sept. 1, 2023. (https://bit.ly/3Q5YfhR)

Chinese customers are still required to obtain licenses from the U.S. government for the technology, a spokesperson for Nvidia said.

AMD did not respond to a request for comment on whether it received a similar authorization.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Russian Shadow Payments via Cryptocurrency Reach $9 Billion
Explosions Rock Doha as Iranian Missiles Target Qatar
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
Macron and Merz: Europe must arm itself in an unstable world
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Airlines Evaluate Flight Cancellations Amid Escalating US-Iran Tensions
Starmer Invites Innovators to Join Government Talent Scheme
UK Economy’s Strong Opening Quarter Shows Signs of Cooling
Harrods Seeks Court Order to Secure Al Fayed Estate for Victims
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
Labubu Doll Drives Pop Mart to Status as China’s Most Valuable Toy Maker
Global Coal Demand Defies Paris Accord Goals
We have new information and breaking details to share about what is shaping up to be a historic air campaign tonight
Six Massive Bombs Dropped on Fordow; Trump: 'A Historic Moment for the U.S., Israel, and the World'
Fordow: Deeply Buried Iranian Enrichment Site in U.S.–Israel Crosshairs
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Pakistan to nominate Trump for Nobel Peace Prize.
BBC Demands Perplexity AI Immediately Stop Using Its Content
Telegram Founder: I Will Leave My Fortune to Over 100 of My Children
Political Turmoil Resurfaces in Belgium Amid Economic Concerns
Fed policymakers divided on timing of interest rate cuts
Trump signals imminent agreement with Harvard University
Inheritance tax referendum alarms Swiss billionaire community
Japan cancels bilateral security meeting amid US defence demands
AI skeptic Emily Bender warns that ‘the emperor has no clothes’
Israel Confirms Assassination of Quds Force Commander in Tehran
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
FBI and Senate Investigate Allegations of Chinese Plot to Influence the 2020 Election in Biden’s Favor Using Fake U.S. Driver’s Licenses
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
Plans to Sell Dutch Embassy in Bangkok Face Local Opposition
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump's $5 Million 'Trump Card' Visa Program Draws Nearly 70,000 Applicants
DGCA Finds No Major Safety Concerns in Air India's Boeing 787 Fleet
Airlines Reroute Flights Amid Expanding Middle East Conflict Zones
Elon Musk's xAI Seeks $9.3 Billion in Funding Amid AI Expansion
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Taiwan Imposes Export Ban on Chips to Huawei and SMIC
Israel has just announced plans to strike Tehran again, and in response, Trump has urged people to evacuate
Netanyahu Signals Potential Regime Change in Iran
×