China bans companies from purchasing AI chips



09/17/2025 1:44 PM


The Cyberspace Administration of China (CAC) has prohibited major tech firms from acquiring Nvidia Corp. chips intended for artificial intelligence, according to the Financial Times, which referenced three sources aware of the situation.



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Sources indicate that the regulator this week instructed companies, such as ByteDance and Alibaba, to cease testing and reject orders for the RTX Pro 6000D chips, which Nvidia specifically designed for the Chinese market.

Numerous firms intended to buy tens of thousands of these chips and had started testing them with Nvidia's suppliers, the sources noted. Currently, the firms have notified their suppliers that they are halting their production on these chips.

As reported by the FT, the choice to move away from Nvidia chips was reached after Chinese regulators determined that domestically manufactured processors had attained similar performance standards.

As reported by the FT last month, Chinese semiconductor manufacturers intend to increase their AI chip production threefold in the coming year. Industry sources indicate that Chinese officials are confident that local supply will adequately satisfy demand without requiring chip imports.

source: ft.com

 


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