Nvidia, AMD adapt to US chip export restrictions
NVIDIA and AMD are reportedly adapting their strategies to comply with US restrictions on exporting advanced semiconductor technology to China. This involves the introduction of new, less powerful Graphics Processing Units (GPUs) specifically designed for artificial intelligence workloads in the Chinese market.
New AI GPUs for the Chinese Market
According to industry sources, NVIDIA is preparing to release a modified AI GPU, codenamed “B20”. Simultaneously, AMD plans to cater to the Chinese AI market with their Radeon AI PRO R9700 workstation GPU. These chips will likely be available from July. These new offerings represent a strategic shift, aiming to meet the demands of the Chinese AI sector while adhering to US export regulations.
The move comes after NVIDIA reported significant financial setbacks due to export restrictions. The company experienced a substantial revenue loss and anticipates further impacts in the coming quarter. This underscores the considerable challenges imposed by the current geopolitical climate on the semiconductor industry.
The new GPUs are expected to be less powerful and potentially cheaper than their high-end counterparts, such as NVIDIA's H20. While specific pricing details for the B20 remain limited, earlier reports suggested a potential price range of $6,500-$8,000, substantially lower than the H20's cost.
This strategic adjustment highlights the complex interplay between geopolitical tensions, technological innovation, and market access in the global semiconductor landscape. The actions of NVIDIA and AMD serve as a case study in navigating these complexities and adapting to evolving regulatory environments.
Source: TechCrunch