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American Focus > Blog > Tech and Science > NVIDIA, AMD may soon start selling new AI chips in China to comply with US restrictions
Tech and Science

NVIDIA, AMD may soon start selling new AI chips in China to comply with US restrictions

Last updated: May 29, 2025 12:30 am
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NVIDIA, AMD may soon start selling new AI chips in China to comply with US restrictions
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New AI GPUs from NVIDIA and AMD to Cater to Chinese Market

In response to the U.S.’ restrictions on exporting advanced semiconductor technology to China, leading chipmakers NVIDIA and AMD are set to introduce new GPUs tailored for AI workloads in the Chinese market. According to a report by Taiwanese tech publication Digitimes, supply chain sources have revealed that NVIDIA will be launching a stripped-down AI GPU, codenamed “B20,” while AMD is preparing to release its new Radeon AI PRO R9700 workstation GPU to address the growing demand for AI processing capabilities in China. These new AI chips are expected to hit the Chinese market starting from July.

A recent report by Reuters highlighted NVIDIA’s efforts to develop a budget-friendly AI chip based on its Blackwell architecture specifically for the Chinese market. Priced between $6,500 to $8,000, this new chip aims to provide a more affordable alternative to NVIDIA’s existing H20 GPUs, which typically retail for $10,000 to $12,000 each.

In a recent announcement, NVIDIA disclosed that it incurred a substantial $4.5 billion charge in Q1 due to licensing requirements that restricted the sale of its H20 AI chip to Chinese companies. Additionally, the company was unable to ship an additional $2.5 billion worth of H20 chips in the same quarter due to these restrictions. Looking ahead, NVIDIA anticipates a significant impact on its revenue in Q2, estimating an $8 billion hit due to licensing requirements affecting its operations in China.

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