Can’t get enough rest.
Late Wednesday, chip maker He said in the deposit The US government has informed the company that it has imposed a new licensing clause, effective immediately, covering any exports of Nvidia’s A100 and H100 products coming to China, including Hong Kong and Russia.
Nvidia’s A100 is used in data centers for artificial intelligence, data analytics, and high-performance computing applications, according to the company’s website.
The filing said the government “indicated that the new licensing requirements would address the risks of covered products being used or converted to ‘military end-use’ or ‘military end-user’ in China and Russia.”
Shares fell 3.9% to $145 in after-hours trading.
Nvidia said it does not sell any products to Russia, but noted that its current forecast for the third fiscal quarter included about $400 million in potential sales to China that could be affected by new licensing requirements. The company also said that the new restrictions may affect its ability to develop its H100 product on time and may force it to move some operations out of China.
An Nvidia spokesperson said Baron In an email: “We are working with our customers in China to fulfill their planned or future purchases with replacement products and may seek licenses if replacements are insufficient. The only existing products that the new license requirement applies to are the A100 and H100 and systems like the DGX that include them .”
The latest development comes after a string of poor financial results from Nvidia. Last week, the company gave returns The outlook for the October quarter was well below expectations, citing a challenging macroeconomic environment and a rapid slowdown in demand.
last friday, Baron said More problems await the chipmaker and investors looking for a quick turnaround may be disappointed.
Nvidia stock is down about 49% this year, versus a 32% drop in
iShares Semiconductor ETF
(SOXX), which tracks the performance of the ICE semiconductor index.
Write to Tae Kim at [email protected]
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