NVIDIA and AMD are set to begin selling new AI chips in China to comply with US restrictions on exporting advanced semiconductor technology to the country.
NVIDIA will introduce a stripped-down AI GPU called 'B20', while AMD plans to target AI workload needs with its new Radeon AI PRO R9700 workstation GPU in China starting from July.
NVIDIA is working on a budget AI chip based on its Blackwell architecture for China, priced at $6,500-$8,000, whereas its H20 GPUs are sold for $10,000-$12,000 each.
In Q1, NVIDIA incurred a $4.5 billion charge due to licensing requirements hindering the sale of its H20 AI chip in China. The company anticipates an $8 billion revenue impact in Q2 from licensing restrictions.