Nvidia postpones releasing a new AI processor targeted at China

 Nvidia postpones releasing a new AI processor targeted at China

Since Nvidia dominates the AI business with its graphics processing units (GPUs), US export limitations have given competitors like Huawei a chance to grab contracts.

The majority of Nvidia's most recent features for AI work are included in the H20, L20, and L2 chips, according to SemiAnalysis's examination of their specs; however, certain of their computational power metrics have been reduced to comply with new US rules.

According to two people with knowledge of the situation, Nvidia has informed Chinese customers that the release of a new AI chip that complies with US export regulations will take place in the first quarter of 2019.

According to the sources, Nvidia is building three chips specifically designed for the Chinese market, the most powerful of which is the H20. The company is also working to maintain its market position in China by competing with local players like Huawei, despite new export limitations from the US. may complicate things.

This month, the chip industry daily Semianalysis stated that the behemoth of AI chips, located in California, was anticipated to introduce new products as early as November 16.

But according to insiders, the H20 debut has now been rescheduled for the first quarter of 2019, with one stating they were told it would happen in February or March.

Because the material is private, both sources refused to be identified. Nvidia chose not to respond.

The sources claimed to have been informed that server makers' difficulties incorporating the processor were the reason for the H20's delay.

To meet with new US export laws, Nvidia is preparing two more chips, the L20 and L2, in addition to the H20. According to sources, the L20 is on track to launch on time and is not experiencing any difficulties. They were unable to communicate about L2's situation.

After being prohibited from exporting goods, including its cutting-edge A800 and H800 AI processors, by Washington's strict export regulations, Nvidia is counting on the chips to help sustain its market position in China.

November 2022 saw the introduction of the A800 and H800 as possibilities for Chinese clients, around one month after the US first banned shipments of cutting-edge microchips and equipment to China.

The majority of Nvidia's most recent features for AI work are included in the H20, L20, and L2 chips, according to SemiAnalysis's examination of their specs; however, certain of their computational power metrics have been reduced to comply with new US rules.

Since Nvidia dominates the AI business with its graphics processing units (GPUs), US export limitations have given competitors like Huawei a chance to grab contracts.

According to Reuters last month, which cited sources, Chinese internet behemoth Baidu has placed a sizable order for Huawei AI processors this year. According to one insider, Baidu took these steps ahead of the US sanctions announcement in order to be ready for the possibility that it would no longer be able to make purchases from Nvidia.