OAKLAND, Calif., Nov 7 (Reuters) – U.S. chip maker Nvidia Corp ( NVDA.O ) is offering new high-end chips to China that meet recent export control rules to keep advanced technology in ‘by China, the company confirmed. on Monday.
Nvidia responded to a Reuters report that Chinese computer vendors are using the new chip to advertise products.
The chip, called the A800, represents the first attempt by a US semiconductor company to produce high-end processors for China following new US trade rules. Nvidia has said the export ban could cost it hundreds of millions of dollars.
A US law put in place in early October effectively bans the export of microchips and equipment to produce advanced chips from Chinese chipmakers, part of an effort to keep China’s semiconductor industry out of the hands of the military.
In late August, Nvidia and Advanced Micro Devices Inc AMD.O both said their high-end chips, including Nvidia’s data center chip A100, were added to the export control list by the US Commerce Department. The Nvidia A800 can be used in place of the A100 and both are GPUs, or graphics processing units.
Such high-quality copies can cost thousands of dollars each.
“Nvidia A800 GPU, which goes into production in Q3, is the next product to Nvidia A100 GPU for customers in China. A800 meets the clear test of the US Government for the control of export control is reduced and cannot be regulated to It’s over,” an Nvidia spokesperson said in a statement to Reuters.
Nvidia declined to say whether it had approached the Commerce Department about the new chip. A Commerce Department spokesman declined to comment.
At least two Chinese websites from server manufacturers offer the A800 chip in their products. One of the products used the A100 chip in the support.
A Chinese distributor’s website has detailed the specifications of the A800. A chip performance comparison with the A100 shows that chip-to-chip data transfer is 400 gigabytes per second on the new chip, down from 600 gigabytes per second on the A100. The new law restricts the rate to 600 gigabytes per second and above.
Wayne Lam, an analyst at CCS Insight, said, “The A800 looks like an A100 GPU that has been scaled back to avoid recent trade restrictions,” in a statement released by Reuters, noting that Eight is a lucky number and. China.
“China is a huge market for Nvidia and it makes perfect business sense to adjust your products to avoid trade restrictions,” Lam said.
Lam said the A800’s chip-to-chip communication capabilities represent a clear performance bottleneck for data centers where thousands of chips are used together.
Officials at Chinese server maker Inspur and H3C, which offers servers with new pages, did not respond to requests for comment. OmniSky does not have a chip distributor, which has posted the A800 specifications online.
Nvidia has said that about $ 400 million in chip prices in China may be affected in the third quarter of its fiscal year ended in October due to high margins and chips. Having a replacement chip can help minimize financial damage. The company will report quarterly results on Nov. 16.
Report by Jane Lanhee Lee in Oakland, Calif. Additional information Josh Horwitz in Shanghai and Karen Freifeld in New York; Editing by Peter Henderson, Matthew Lewis and Leslie Adler
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