Nvidia Unveils New Gaming Chip for Chinese Market Amid US Export Controls
Summary:
Nvidia, a global leader in AI chip production, has released a new gaming chip developed specifically for the Chinese market, known as the GeForce RTX 4090 D. This is the first attempt to cater to this market since the Biden Administration's imposition of export controls on chips to China in 2022. The new chip offers upgraded performance and efficiency while adhering to U.S. export controls. Despite trade restrictions, Nvidia recorded a record $18 billion revenue for Q3, mainly driven by generative AI. China dominates Nvidia's market, constituting more than 90% of the $7 billion AI chip market share.
Nvidia, a leading producer of artificial intelligence (AI) microprocessors worldwide, unveiled a novel gaming chip built specifically to suit the Chinese market on December 28. Reuters reports that Nvidia's innovative gaming chip provides its Chinese customers a significant boost in performance, energy-efficiency, and AI-powered graphics whilst keeping within the restrictions of U.S. export controls. Nvidia's statement read, "The GeForce RTX 4090 D was fashioned to completely meet U.S. government export controls, and we were in constant communication with the U.S. government throughout its development." This is Nvidia's inaugural chip for China following the enforcement of export control on chips to the country by the Biden Administration in October 2022, a regulation that has since witnessed progressive tightening. The high-powered A800 and H800 chips along with RTX 4090, Nvidia's cutting-edge gaming chip, are all embargoed from being sold in China. The new RTX 4090 D is said to have a "5% reduction in gaming and creation performance" with a price tag of 12,999 yuan (equivalent to $1,842 USD), reveals a representative for Nvidia. The chipmaker disclosed its new Chinese chip will hit the markets by January 2024. Nvidia did not respond when Cointelegraph contacted them for additional details about the new product. Related: Nvidia's planned expansion in Vietnam for AI development will meet increasing demand. China holds a critical position in Nvidia's market strategy, accounting for more than 90% of the country's $7 billion AI chip market. Its largest markets, after China, are the U.S. and Taiwan, with all other countries collectively contributing to just about 13% of its market share. Previously, Nvidia has indicated that the company's long-run performance could be "adversely affected" if the Chinese export prohibitions get overly stringent. Despite the export restrictions, Nvidia posted a record $18 billion revenue for Q3, attributing this significant feat mainly to generative AI. The high level of control the U.S. government imposes on China has forced the latter to seek alternatives to expand its AI chip market. As recorded by Cointelegraph on September 25, China is supposedly prepping to construct AI chip factories to build particle accelerators and establish its leading position in the worldwide semiconductor industry. Magazine: 2023's Best AI tools, peculiar DEI image guardrails, ‘based’ AI bots: AI Eye.
Published At
12/29/2023 1:33:59 PM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.