Nvidia CEO: US AI chip export ban causes billions of dollars in damage

Nvidia CEO Jensen Huang said on May 21 that the US's control of exports of Artificial Intelligence (AI) chips to China has caused US companies to lose billions of dollars in revenue.

Huang’s comments were aimed at the Biden administration’s AI chip export restrictions, which sought to control the export of advanced AI chips in three tiers, with China banned entirely.

The Trump administration has announced it will amend this regulation.

Trump administration officials are considering scrapping the tiered approach to chip export restrictions and replacing it with a global licensing regime with government-to-government agreements, which could give the United States leverage in trade negotiations.

At a press conference at the annual Computex trade show in Taipei, Huang praised Trump’s approach to AI, saying that reversing previous restrictions showed that President Trump understood that American companies were not the only suppliers of the technology.

Referring to the previous rules, Mr. Huang said that President Trump realized that it was precisely the “wrong goal.” Since the start of the administration of former President Joe Biden, Mr. Huang said, Nvidia’s market share in the Chinese market has dropped from 95% to 50%.

More than half of the world's AI researchers are in China, and due to US export controls on AI chips, those experts have been forced to turn to domestic Chinese technology, Mr. Huang said.

Mr. Huang estimates that the entire AI market in China will be worth about $50 billion next year, which he says is a huge opportunity for Nvidia.

At Computex, Nvidia announced a number of new technologies and businesses that will help increase revenue for this "giant".

In April, Nvidia said it would take a $5.5 billion charge after the Trump administration restricted exports of its H20 AI chip to China, a key market for one of its most popular chips.

Earlier this week, Mr. Huang estimated that revenue losses related to H20 would amount to about $15 billion./.

(Vietnam News Agency/Vietnam+)

Source: https://www.vietnamplus.vn/ceo-nvidia-lenh-cam-xuat-khau-chip-ai-cua-my-gay-thiet-hai-hang-ty-usd-post1039848.vnp