Nvidia falls: China asks its companies not to buy chips from the company

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By TP


Nvidia falls more than 2% on Wall Street this Friday and drags down chip manufacturers such as ARM either Broadcom after the chinese regulators have asked the country's companies to stop buying H20 chips of the firm that are used to develop and execute models of artificial intelligence (AI). Based on the information provided by 'Bloomberg', the policy has adopted the form of a guide rather than a complete ban, since Beijing wants to avoid harming its own emerging AI companies and increase tensions with the United States. The measure aims help Chinese AI chip makers to gain more market share and, at the same time, prepare local technology companies for possible additional US restrictions. On the other hand, the chip manufacturer has also seen downward pressure after leaking the characteristics of its new processorswhich require high energy consumption to operate. Something that seems to have not finished convincing investors. Hardware insider Kopite7kimi, known for revealing data related to Nvidia products, and respected for the quality of his sources, has revealed that the next graphics card GeForce RTX 5090 It will have 32 GB of GDDR7 memory and demanding power requirements. And it is that GPU could consume up to 600Wwhich represents a significant increase compared to the 450 watts required by the current RTX 4090. Furthermore, he has advanced that the RTX 5080 will arrive with 16 GB of GDDR7 memory, 256 bits and 10,752 CUDA cores, consuming around 400 Wan increase compared to the 320 watts of the RTX 4080. In this way, and as the experts explain, with this increase in power and consumption doubts arise about the heat generated and they wonder whether Nvidia will have to make any adjustments to the cooling system to ensure its proper functioning. The company was celebrating just a few sessions ago, and thanks to its increases in the stock market, having surpassed 3 billion market capitalization at closing thanks to the agreement it has signed with NetApp (data infrastructure) to boost the AI ​​part of the business. He has also announced the strategic alliance with Alibaba with the aim of implementing new advances in autonomous driving.