The US government is imposing new licensing requirements on AMD and Nvidia that restrict sales of advanced chips used for artificial intelligence (AI)-related projects in China.

The restrictions are said to block access to high-end GPUs from Nvidia and AMD. Nvidia confirmed the new license requirements in documents filed with the Securities and Exchange Commission. The decision will affect sales of Nvidia's existing A100 and A100X GPUs, DGX Systems, and upcoming H100 chips. For AMD, sales of its M1200-series chips are affected. Future chips are also affected by the restrictions if they meet or exceed the current standard in terms of peak performance and chip-to-chip I/O performance.
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AMD and Nvidia chip: Why are restrictions placed on sales in China?
The new restrictions appear to be related to national security and foreign policy interests. The US Commerce Department said the goal is to prevent “China from acquiring and using technology US.”
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As Reuters reports, China opposes the new restrictions. Chinese Commerce Ministry spokeswoman Shu Jueting said the US move “undermines the legitimate rights and interests of Chinese companies and the stability of global industrial and supply chains.”

The restrictions are said to be gradual, with Nvidia confirming that it will be allowed to fulfill A100 GPU orders and complete development of the H100 chip through the company's Hong Kong facilities until September 1, 2023.
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This is not the first time the US has decided to stop supplying chips to China. In 2020, the administration of former President Donald Trump banned suppliers from selling chips made with American technology to Huawei . There would have to be a special license.
Without American chips from companies like Nvidia and AMD, Chinese organizations will face problems.
Source: www.pcmag.com
