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US Commerce Secretary Tightens Chip Exports, NVIDIA Pushes for China Sales

Published: 12.14.2023

The U.S. government is tightening its grip on high-tech exports to China for national security reasons, with Commerce Secretary Gina Raimondo issuing a strong warning to chipmakers. During the Reagan National Defense Forum, Raimondo declared, "If you redesign a chip around a particular export restriction and it enables China to do AI, I'm going to control it the very next day."

This stern message comes amid growing concerns about China's advancements in artificial intelligence (AI) and the potential security threats they pose. The U.S. has implemented export controls to restrict China's access to advanced AI chips, but Raimondo's statement underscores the government's commitment to adapting these controls as technology evolves.

However, not everyone is on board with the strict export measures. NVIDIA, a leading manufacturer of AI chips, reportedly delayed the launch of a new chip specifically designed for the Chinese market.

Despite the delay, NVIDIA CEO Jensen Huang remains optimistic about selling high-end processors to China. The Wall Street Journal reports Huang as saying, "We still hope to supply high-end processors to China, but we are working with the U.S. government to ensure compliance with all export controls."

This clash between government policy and corporate interests highlights the complex challenges surrounding AI development and technology transfer. The U.S. government aims to maintain its technological edge and address national security concerns, while companies like NVIDIA strive to maintain access to a lucrative market.

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