Nvidia will reportedly launch a new lower-cost artificial intelligence chip specifically for China, following restrictions on exporting its more expensive model.
Nvidia plans to start mass production of the new AI chips in June, which will be part of the firm’s latest generation of AI chips, Reuters reported on May 26, citing people familiar with the matter.
The company plans to sell it for between $6,500 and $8,000 owing to its lower specifications and simple manufacturing requirements — cheaper than the some $10,000 to $12,000 Nvidia’s recently restricted H20 model sold for.
An Nvidia spokesperson told Reuters it was still evaluating the company’s limited options. “Until we settle on a new product design and receive approval from the US government, we are effectively foreclosed from China’s $50 billion data center market,” they said.
China is a massive market for the chipmaker, accounting for 13% of its sales in the past financial