U.S. officials have told Advanced Micro Devices (AMD) that the artificial intelligence (AI) chips it customized for the Chinese market are too powerful to sell without permission, and that another U.S. semiconductor company is selling the advanced technology. He said there is a possibility that the company could be caught up in a Washington government crackdown on exports.
AMD is using the U.S. Commerce Department to sell its AI processors to Chinese customers because they have lower performance than those the company sells outside China, people familiar with the matter said on condition of anonymity. He was hoping to get the go-ahead. Because this issue is private.
However, U.S. officials have told AMD that it still needs to obtain a license from the Commerce Department's Bureau of Industry and Security before it can be sold.
AMD has not commented, and it is unclear whether the company is seeking a license. The Bureau of Industry and Security declined to comment. AMD stock was down 2.2% as New York markets opened on Tuesday.
California rival Nvidia is also in talks with U.S. officials to pass ever-tightening regulations on semiconductors, as the U.S. government seeks to rein in one of its biggest geopolitical rivals. Continually downgrading the grade of powerful AI chips destined for China.
The United States has worked to limit China's access to cutting-edge semiconductors that can develop AI models and the tools used to make them, fearing that China would gain a military advantage.
President Joe Biden's administration announced the first set of export controls in 2022, tightening export controls last October to include more technology and potentially weakening bans on sales to intermediary countries. was suppressed.
Tighter controls restricted Nvidia's sale of processors designed specifically for China under an early 2022 version of export rules.
Nvidia has since developed new, lower-performance products customized for the Chinese market to meet the 2023 regulations, and Commerce Secretary Gina Raimondo said she was reviewing the details of those components. Ta.
The 2022 US ban will prevent both Nvidia and AMD from selling their most powerful AI chips to China, forcing them to find workarounds. Nvidia quickly responded with a modified model with reduced performance, but AMD has not publicly discussed its efforts to develop new AI processors for the country.
AMD didn't have as much of a foothold in China's AI chip industry as Nvidia, which had a large share of the market before the ban. AMD said it does not expect to be materially impacted by this rule when it takes effect in 2022.
NVIDIA samples alternative AI chips in China as US regulations hit
NVIDIA samples alternative AI chips in China as US regulations hit
But AMD is now targeting the AI ​​chip market more aggressively. In December, it announced its new MI300 lineup to compete with Nvidia's processors.
According to officials, the product for China is called “MI309.” It's not clear which Chinese customers were looking to buy AMD AI chips. This factor could affect whether the company is able to secure a license if the chipmaker chooses to move forward.
Big Chinese tech companies like Tencent Holdings and Baidu have enough powerful chips from Nvidia (the kind currently subject to U.S. regulations) to advance the capabilities of their chatbots for another year or two. He said he was stockpiling it.
Meanwhile, Shenzhen-based Huawei Technologies Co. is developing its own AI semiconductor and chip manufacturing capabilities, which could ultimately help Chinese companies fill the gap created by the U.S. ban. be.