Overview
- Nvidia placed a new order with TSMC for 300,000 H20 GPUs on July 30 to replenish stockpiles depleted by surging Chinese demand.
- The Commerce Department lifted its April ban in mid-July but has yet to approve export licenses required for H20 shipments to China.
- On July 31, China’s Cyberspace Administration summoned Nvidia representatives to disclose documentation on alleged backdoors, tracking and remote-shutdown features.
- Beijing’s security review may delay H20 deployment and strengthen incentives for Chinese firms to adopt domestic AI chips such as Huawei’s Ascend series.
- Meanwhile, U.S. lawmakers are advancing a bipartisan Chip Security Act to mandate tracking and kill-switch capabilities in advanced AI processors.