Nvidia has denied a report that it plans to begin shipping a language processing unit (LPU) tailored for Chinese customers by the end of the year, saying it has no China-specific version of the product on its roadmap.
The denial came after The Information reported that Nvidia was preparing to start small-batch shipments of the artificial intelligence chip by year-end, with several Chinese customers already placing orders.
“The reporting in The Information on Nvidia’s LPU is incorrect. We have no LPU sales in the China market today, and no China-specific LPU product in our roadmap,” an Nvidia spokesperson said.
The reported chip was described as a version of Nvidia’s LPU, a processor developed using technology licensed from AI startup Groq. The processor is designed to work alongside graphics processing units (GPUs) to accelerate responses from AI chatbots.
The Information, citing two Nvidia employees, reported that the proposed chip would comply with US export-control rules. Nvidia was also said to have modified its software so the LPU could operate with processors available in China after its next-generation Vera Rubin AI system became unavailable to the Chinese market due to US restrictions.
Nvidia’s position in China’s AI chip market has shifted significantly in recent months as Washington continues to restrict the company’s access to the country while domestic rival Huawei Technologies strengthens its position.
In May, the US approved sales of Nvidia’s H200 AI chips to a limited group of Chinese companies including Alibaba, Tencent and ByteDance. Deliveries of the chips only recently began.
Nvidia has also been marketing its Vera CPU to Chinese customers as it looks to maintain a foothold in one of the world’s fastest-growing AI markets.
Reuters reported in March that Nvidia was preparing a China-compatible version of its AI chips as it sought to compete in the country’s rapidly expanding AI inference market.
However, Nvidia Chief Executive Jensen Huang said in May that the company had “largely conceded” China’s AI chip market to Huawei, highlighting the growing challenge from Chinese technology companies.
The latest denial underscores the uncertainty surrounding Nvidia’s China strategy as US export restrictions continue to shape which advanced AI products the chipmaker can sell into the market.
Reuters
