What has Nvidia decided to do with its H20 AI chip?

Nvidia has told its component suppliers to suspend production work related to the H20, its AI chip tailor-made for the Chinese market.

Why has Nvidia paused the H20 chip project?

The exact reasons behind Nvidia's decision to halt the H20 chip project remain unclear, as the company has not provided any public explanation for the move.

How recent is Nvidia's decision to suspend the H20 chip?

Nvidia's directive to its suppliers to suspend production work on the H20 chip was made within the last 48 hours, according to sources with direct knowledge of the communications.

Home / Business and Economy / Nvidia Halts Production of AI Chip for Chinese Market

Nvidia Halts Production of AI Chip for Chinese Market

22 Aug

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Summary

Nvidia told suppliers to suspend work on H20 AI chip
The H20 chip was tailor-made for the Chinese market
The decision was made within the last 48 hours

Nvidia Halts Production of AI Chip for Chinese Market

On August 20th, 2025, tech company Nvidia made a sudden decision to suspend production work on its H20 AI chip, which was being developed for the Chinese market. According to two people with direct knowledge of the matter, Nvidia has communicated this directive to its component suppliers in the last 48 hours.

The H20 chip was a specialized artificial intelligence processor that Nvidia had tailored for the Chinese market. Its development and potential launch were seen as an important strategic move for the company to expand its presence in the lucrative Chinese tech sector. However, Nvidia has now opted to pause all work related to this project, though the exact reasons behind this decision remain unclear.

This unexpected move by Nvidia has raised questions about the company's future plans in China and the potential implications for its business in the region. As of August 22nd, 2025, the situation appears to be ongoing, with Nvidia yet to provide any public explanation for the suspension of the H20 chip project.

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