Copyright ibtimes
The US-China tech rivalry just escalated. President Donald Trump's new export ban on Nvidia's cutting-edge Blackwell AI chip has sent a shockwave through the global technology sector. This significant restriction directly targets the heart of China's artificial intelligence development, putting the nation's ambitious tech dreams under immediate and intense pressure. The move marks a major setback for Beijing's drive for AI supremacy, compelling tech giants to rapidly reassess their future strategies. The White House Draws the Line US President Donald Trump announced that Nvidia, the titan of artificial intelligence, would only supply its most powerful microchips to American firms, preventing their sale to mainland China and other international markets. In remarks given to journalists aboard Air Force One, and during a recorded interview broadcast on Sunday on the CBS programme '60 Minutes', Trump asserted that American clients alone should be able to obtain the high-specification Blackwell microchips produced by Nvidia, which is currently the globe's most valuable corporation based on its market value. 'The most advanced, we will not let anybody have them other than the United States,' he informed CBS, reinforcing comments he had delivered earlier to journalists while flying back to Washington following a trip to Florida. He added during the airborne conversation, 'We don't give (the Blackwell) chip to other people.' These statements suggest that Trump could introduce stricter controls over advanced American artificial intelligence processors than government representatives had previously indicated, potentially preventing not only China but also the entire international community from obtaining the most sophisticated microchips. America-First: Securing Advanced AI That July, the Trump administration unveiled a fresh plan for artificial intelligence, aiming to ease regulations concerning the environment and significantly increase shipments of AI technology to friendly nations, thereby attempting to keep the United States' advantage over China in this crucial field. Yet, as recently as last Friday, Nvidia announced plans to deliver over 260,000 of its Blackwell artificial intelligence units to South Korean entities, specifically to the nation's leading corporations, which include Samsung Electronics. Additionally, speculation has been constant since August regarding whether Trump would permit the export of a less powerful variant of the Blackwell processors to China, given that he indicated at that time he might approve those transactions. The 'Scaled-Down' Chip Debate Trump informed CBS that he would not permit the transfer of the premier Blackwell components to Chinese businesses; however, he did not discount the possibility of their acquiring a less potent iteration of the processor. During the '60 Minutes' discussion, he stated, 'We will let them deal with Nvidia but not in terms of the most advanced.' The notion that any iteration of the Blackwell processor might be transferred to companies in China has attracted objections from hardliners in Washington, who worry that the apparatus would significantly enhance the nation's military power and accelerate its work on artificial intelligence. Congressional Hawks Sound the Alarm Republican Congressman John Moolenaar, who leads the House Select Committee on China, stated that such an action 'would be akin (to) giving Iran weapons-grade uranium.' Although Trump had suggested he could raise the issue of the processors with Chinese President Xi Jinping before their recent meeting in South Korea, he later confirmed that the matter was not addressed. Originally published on IBTimes UK
