Nvidia CEO Jensen Huang has addressed fresh challenges facing the company in China, expressing frustration over reports that Beijing has blocked sales of its artificial intelligence chips.
The Financial Times reported that China’s Cyberspace Administration directed firms such as Alibaba and ByteDance not to purchase Nvidia’s RTX Pro 6000D, a chip developed specifically for the Chinese market.
Responding to the news during a press briefing in London, Huang said, “We can only be in service of a market if the country wants us to be.”
He continued, “We probably contributed more to the China market than most countries have. And I’m disappointed with what I see. But they have larger agendas to work out between China and the United States, and I’m understanding of that.”
A Volatile Business Landscape
Huang described Nvidia’s journey in China over recent years as “a bit of a roller coaster,” citing ongoing uncertainty stemming from U.S.-China tensions.
“We’ve guided all financial analysts not to include China in financial forecasts,” he explained. “The reason for that is because that’s largely going to be within the discussions of the United States government and Chinese government.”
Nvidia has been caught in the middle of geopolitical disputes before. Washington previously restricted exports of some of its advanced chips, including the H20 model, citing national security risks.
A Temporary Respite and New Headwinds
In August, the White House announced that former President Donald Trump and Huang had agreed on a deal that allowed Nvidia to obtain export licenses. In return, 15% of the company’s Chinese sales of the H20 chip would be allocated to the U.S. government.
Yet the latest development suggests Nvidia’s reprieve in China may be short-lived.
The setback comes as China’s State Administration for Market Regulation recently launched an antitrust investigation into Nvidia’s acquisition of Mellanox, an Israeli networking technology provider.
Commitment to the U.K. and Global Expansion
Despite the turbulence in China, Nvidia continues to pursue International growth.
Huang is currently accompanying Trump on a state visit to the United Kingdom, where Nvidia announced a £11 billion ($15 billion) investment in the country’s AI infrastructure. Other major American Tech firms, including Microsoft, Google, and Salesforce, also unveiled multibillion-dollar investment plans.
“The Chinese market is important. It’s large. The technology industry is vibrant. We’ve been in service of it for 30 years,” Huang said.
He added that Nvidia would continue to support both governments: “We’ll continue to be supportive of the Chinese government and Chinese companies as they wish, and we’re of course going to continue to support the U.S. government as they all sort through these geopolitical policies.”