TECH - Nvidia's AI Market in China Faces Hurdles with Modified Chips and New Regulations | Benzinga
Nvidia Corp (NASDAQ: NVDA) faces challenges as Chinese companies adapt to U.S. export controls by repurposing standard PC gaming graphics cards for artificial intelligence (AI) development.
Thousands of Nvidia's gaming cards are dismantled monthly, with core components installed on new circuit boards.
This workaround addresses the shortage of high-end processors in China, although these repurposed chips lack the precision for training some large AI models.
The Biden administration's tightened export controls have significantly impacted Nvidia's ability to sell advanced semiconductors to China, the Financial Times reports.
Demand for these repurposed gaming chips has spiked, with one factory manager reporting over 4,000 disassembled cards ...