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Chinese Firms Accessing Nvidia AI Chips Via Data Centres

Google and Microsoft both offer server rental services outside of China, raising security concerns for Biden’s administration


Nvidia is caught in the middle of a sad 'catch me if you can' game with US officials keen to limit China's access to advanced computer chips, according China's state media outlet the Global Times.
Analysts expect Nvidia to ship more than 1 million of its H20 chips, which cost $12-13,000 each, to China in coming months, amid a splurge for AI infrastructure. Photo: Reuters.

 

Chinese firms are being offered access to Nvidia’s market-leading AI chips by Google and Microsoft’s cloud divisions.

The Information reported on Wednesday that the companies are able to use the US tech giants’ data centre services in locations outside China – despite the Biden administration taking measures to prevent Chinese firms using US technology for artificial intelligence, including advanced semiconductors.

Microsoft, Alphabet, Nvidia and the US Department of Commerce did not immediately respond to requests for comment.

 

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The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centres in the United States to train AI models, US Commerce Secretary Gina Raimondo said in January.

Microsoft offers server rental services, including those with Nvidia’s A100 and H100 chips, to Chinese customers through data centres outside China, the Information reported, citing an employee of the Windows maker with knowledge of the services and a person directly involved in the sales.

Google lets customers in China use servers based outside of mainland China, and is confident that its offerings comply with US export controls, the publication said, citing a person familiar with the matter.

 

  • Reuters with additional editing by Sean O’Meara

 

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Sean O'Meara

Sean O'Meara is an Editor at Asia Financial. He has been a newspaper man for more than 30 years, working at local, regional and national titles in the UK as a writer, sub-editor, page designer and print editor. A football, cricket and rugby fan, he has a particular interest in sports finance.