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Investing.com-- The Trump administration plans to block NVIDIA Corporation (NASDAQ:NVDA) from selling even its less powerful artificial intelligence chips to China, The Information reported on Thursday, citing three people familiar with the matter.
The White House has informed federal agencies that Nvidia will not be allowed to sell the B30A chip, to China, the report said.
Nvidia had provided samples of the chip to several Chinese customers, according to the Information report.
The B30A was developed by Nvidia to be more powerful than the H20 model it is currently allowed to sell in the country, reports earlier this year had shown.
Nvidia, which makes the most advanced artificial intelligence chips in the market, became a bargaining chip in a bitter U.S.-China trade war this year, with the company being temporarily blocked from selling chips to China, even the China-specific H20.
While cooling U.S.-China trade tensions had seen the White House reapprove Nvidia’s China sales, the company also faced renewed resistance from Beijing as the Chinese government pushed for complete self-reliance in AI, with chips being a major part of this push.
Nvidia said earlier this year that it will no longer include China in its revenue and profit forecasts.
CEO Jensen Huang has constantly treaded a fine line between maintaining ties with China while avoiding ire from the White House– a balance that has been further challenged by the Trump administration’s hardline stance against Beijing.
Huang said earlier this week that China could win the AI race thanks to cheaper energy costs and looser regulations.