Nvidia reportedly tells data center customers to trim exposure to the Chinese market
- Nvidia's new rule forces foreign cloud providers to reconsider doing business in China
- Chinese AI companies face fewer routes to powerful American processors
- Nvidia has sharply reduced the number of approved Asian chip buyers
Nvidia is tightening commercial restrictions on foreign cloud providers, requiring them to reduce their reliance on Chinese businesses that use its advanced AI processors.
The new condition requires affected companies to generate at least 51% of their revenue from customers outside China, potentially disrupting existing business arrangements.
The requirement applies globally, and its consequences could be particularly significant for data center operators serving Chinese technology companies.
Nvidia introduces new restrictions for foreign cloud providers
The Financial Times, citing people familiar with the discussion, said Nvidia communicated the requirement verbally through its sales representatives and regional management teams.
The company introduced the condition during the summer, applying it to future commercial agreements rather than existing cloud...
Copyright of this story solely belongs to www.techradar.com. To see the full text click HERE
