Nvidia unveils new chipsets
January 10, 2024
By Chris Forrester
Technology giant Nvidia supplies chipsets for an array of electronic devices including broadcast, gaming, graphic cards and creative devices and now AI models. At CES it announced new chipsets as news emerged that its H20 AI chip will enter mass production in Q2 for use in China and complying with US export rules.
The H20 chip is the most powerful of three China-focused chips Nvidia developed to meet US restrictions announced in October 2023. The mass production was originally scheduled to start in November 2023 but was delayed due to problems server manufacturers were having with integrating the chip.
The news sent Nvidia’s stock price on the Nasdaq to ‘all-time’ high levels, of $531 per share, up 26 per cent over the past six months (and up 234 per cent over the past year).
However, there are some concerns that not all market bulk-buyers are in favour of using Nvidia’s ‘cut down’ chipsets.
The US Biden administration in October last year had said it wanted to halt shipments to China of more advanced AI chips from Nvidia and others, part of a raft of measures that seek to stop Beijing from receiving cutting-edge US technologies. The intention was said to want to limit China’s access to advanced semi-conductors from the likes of Nvidia.
Reuters reports that initial production volume may be limited, with Nvidia is set to primarily fulfil orders for major customers. In addition to the H20, Nvidia plans two other chips that comply with the US restrictions, the L20 and L2 with mass production due later this year.
Nvidia also announced it would be teaming up with Mercedes-Benz and software developer Ansys to expand Al applications in the auto sector. Nvidia’s fabrication plants are in Taiwan.