Connect with us

Hi, what are you looking for?

Stock

Nvidia CEO Jensen Huang warns China is ‘not behind’ in AI

Nvidia CEO Jensen Huang said on Wednesday that China is “not behind” in artificial intelligence, and that Huawei is “one of the most formidable technology companies in the world.”

Speaking to reporters at a tech conference in Washington, D.C., Huang said China may be “right behind” the U.S. for now, but it’s a narrow gap.

“We are very close,” he said. “Remember this is a long-time, infinite race.”

Nvidia has become key to the world economy over the past few years as it makes the chips powering the majority of recent advanced AI applications. The company faces growing hurdles in the U.S., including tariffs and a pending Biden-era regulation that would restrict the shipment of its most advanced AI chips to many countries around the world.

The Trump administration this month restricted the shipment of Nvidia’s H20 chips to China without a license. That technology, which is related to the Hopper chips used in the rest of the world, was developed to comply with previous U.S. export restrictions. Nvidia said it would take a $5.5 billion hit on the restriction.

Huawei, which is on a U.S. trade blacklist, is reportedly working on an AI chip of its own for Chinese customers.

“They’re incredible in computing and network tech, all these central capabilities to advance AI,” Huang said. “They have made enormous progress in the last several years.”

Nvidia has made the case that U.S. policy should focus on making its companies competitive, and that restricting chip sales to China and other countries threatens U.S. technology leadership.

Huang called again for the U.S. government to focus on AI policies that accelerate the technology’s development.

“This is an industry that we will have to compete for,” Huang said.

Trump on Wednesday called Huang “my friend Jensen,” cheering the company’s recent announcement that it planned to build $500 billion in AI infrastructure in the U.S. over the next five years.

Huang said he believes Nvidia will be able to manufacture its AI devices in the U.S. The company said earlier this month that it will assemble AI servers with its manufacturing partner Foxconn near Houston.

“With willpower and the resources of our country, I’m certain we can manufacture onshore,” Huang said.

Nvidia shares are down more than 20% this year, sliding along with the broader market, after almost tripling in value last year. The stock fell almost 3% on Wednesday.

This post appeared first on NBC NEWS
Enter Your Information Below To Receive Free Trading Ideas, Latest News And Articles.

    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like

    Editor's Pick

    On April 23, 1985, the Coca-Cola Company made one of the biggest mistakes in American business history: it changed the formula for Coca-Cola. Outraged...

    Editor's Pick

    For years the North Korean playbook was obvious to the world. The Democratic People’s Republic of Korea wanted to be the center of attention....

    Editor's Pick

    Sales of new single-family homes rose again in November, increasing 5.8 percent to 640,000 at a seasonally-adjusted annual rate from a 605,000 pace in...

    Editor's Pick

    New orders for durable goods fell 2.1 percent in November, following a 0.7 percent gain in October. Total durable-goods orders are up 10.6 percent...