America gave a big blow to China, the export of chips for military use stopped

America gave a big blow to China, the export of chips for military use stopped


America’s decision to stop export of AI chips to China
American companies have suffered huge losses due to this move of the Biden administration
This decision has been taken keeping in mind the national security and foreign policy interests of America.

Washington. Amid tensions between China and the US over Taiwan, the Biden government has asked major US companies such as advanced chip maker Nvidia Corp and Advanced Micro Devices Inc to stop exporting AI chips to China. According to a Reuters report, this stake of America can put a brake on all the projects related to China’s artificial intelligence. However, American companies have also suffered a lot due to this ban.

Nvidia’s shares fell as much as 6.6 percent in the hours after the export shutdown was announced. The company said the ban will affect the development of the A100 and H100 chips designed to accelerate machine learning tasks. Also, the development of the H100 flagship chip announced this year could be hampered. Shares of Nvidia’s rival Advanced Micro Devices Inc. (AMD.O) also fell as much as 3.7% due to the ban.

A spokesman for Advanced Micro Devices told Reuters that the new rules would bar the company’s MI250 artificial intelligence chip from being exported to China, but would not affect the MI100 chips.

China’s military use will be banned
According to US officials, the new rules will eliminate fears that China will be able to use these sophisticated chips in military operations. Earlier, the US administration had received many inputs that China is using AI chips for its military. US officials say the ban on AI chips in China is an attempt to prevent advanced technology from falling into the wrong hands. Officials said that this decision has been taken keeping in mind the security and foreign policy of America.

tags: china, America


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