China warns companies against using Nvidia and AMD chips, report says

China has told companies to refrain from using Nvidia’s H20 chips after the chipmaker recently received approval to resume shipping the less-advanced artificial intelligence product, Bloomberg reported, citing sources familiar with the matter. Authorities have recently told companies to avoid using the Nvidia chips, or those from Advanced Micro Devices, for government and national security use cases, according to the news outlet.

The report comes after the White House confirmed on Monday that both Nvidia and AMD have agreed to give 15% of all China revenuesto the U.S. government.

Last month, both companies said they would soon resume China shipments after the administration started requiring export licensesearlier this year. Both Nvidia’s H20 chip and AMD’s MI380 were created to work around previous AI chip restrictions to China due to national security fears.

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