NVIDIA stocks have dropped in response to the news of tightened restrictions on chip exports to China. Yesterday NVIDIA's stock price fell by 7.85% on NASDAQ, reaching $424.8.
The US Department of Commerce plans to ban the export of high-tech chips used in artificial intelligence development to China in the coming weeks, according to CNBC. Last year, the US already prohibited NVIDIA from selling H100 chips to China, but the company was still able to export slower processors like H800 and A800. Now, the requirements will become more stringent, meaning that these versions will also be forbidden for shipment to China. A high-ranking US official confirmed to Bloomberg that H800 and A800 chips will fall under the ban.
These restrictions are likely to affect certain chip models from Intel and AMD as well. Their stocks responded negatively to the news, although the decline is not as significant. Intel's stock decreased by 3.42% on NASDAQ, while AMD's stock declined by 3.99%.
