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Nvidia looking to halt H20 chip production after China cracks down on purchases: Report

Nvidia halted production of its China-specific H20 AI chip due to Chinese regulatory pressure over security concerns, risking billions in revenue and prompting a shift toward domestic chipmakers.

  • On August 22, 2025, Nvidia halted production of its China-specific H20 AI chips after Chinese regulators intensified scrutiny over the product in Beijing.
  • This action followed increasing national security concerns driven by geopolitical tensions between Washington and Beijing, alongside official summons of companies like Tencent and ByteDance to stop H20 purchases.
  • Nvidia instructed suppliers including Amkor Technology and Samsung Electronics to suspend H20 manufacturing, while Chinese authorities urged domestic firms to prefer local alternatives from Huawei and Cambricon.
  • Nvidia CEO Jensen Huang stated he clarified to Chinese regulators that no security backdoors exist in the H20 chip, affirming, "The market can use the H20 with confidence," despite concerns.
  • The production halt may reduce Nvidia's China revenue by $2 billion to $3 billion quarterly, but next-generation Blackwell B200 chips rollout and strong global demand could partially mitigate these impacts.
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Nvidia has asked its component suppliers to stop working on H20 chips that are made specifically for China.

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Techmeme broke the news in California, United States on Thursday, August 21, 2025.
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