Nvidia Faces Global Scrutiny Over AI Chips: U.S. Proposes GPS-Like Tracking, China Investigates Backdoor Risks
Nvidia is facing scrutiny from both the U.S. and Chinese governments over its AI chips. The U.S. has proposed a new act, the NVDA Stock Act, mandating GPS-like tracking in exported AI chips, while China's Cyberspace Administration is investigating potential backdoor risks in Nvidia's H20 chips.
The NVDA Stock Act, if passed, will require GPS-like tracking in AI chips exported abroad. This move comes amidst growing concerns over foreign access to advanced U.S. technology.
Meanwhile, in China, the Cyberspace Administration has demanded explanations and documentation from Nvidia regarding its H20 AI chips. These chips, tailored for the Chinese market and based on the Hopper architecture, are suspected of having potential backdoor risks. The investigation follows recent accusations by Chinese authorities, including the State Administration for Market Regulation (SAMR), of security concerns related to remote shutdown functions and location tracking in the H20 chips. This action is part of China's broader efforts to protect its domestic technology and tighten control over foreign tech imports.
Nvidia's H20 chips have been in the spotlight since the U.S. recently lifted an export ban, allowing the company to resume sales in China.
The proposed NVDA Stock Act and China's investigation into Nvidia's H20 chips highlight the growing geopolitical tensions surrounding AI technology. As governments worldwide seek to secure their technological advantage, companies like Nvidia find themselves navigating complex international landscapes.