Nvidia Launches Modified Blackwell RTX Pro 6000 Chip in China to Comply with US Export Restrictions

Nvidia, a leading technology company, is set to launch a modified version of its Blackwell RTX Pro 6000 chip in China in September. This new chip has been specifically designed to comply with the latest US export restrictions imposed by President Donald Trump. The modifications include the removal of high-bandwidth memory (HBM) and NVLink, features that are crucial for enhancing data transfer speeds but are restricted under US export laws.

Nvidia's CEO, Jensen Huang, is scheduled to travel to Beijing next week to present this new product. His visit also includes plans to attend the International Supply Chain Expo and to seek meetings with high-ranking Chinese officials, including Premier Li Qiang and Vice Premier He Lifeng. These meetings are pending approval from Beijing and are part of Nvidia's strategy to navigate the geopolitical tensions and maintain its presence in the Chinese market.

Huang has previously criticized Trump's restrictions on AI chip exports, stating that these policies are accelerating China's efforts to develop its own AI technology. Despite a significant drop in market share in China over the past four years, Nvidia sees the region as a crucial market with the potential to become a $50 billion AI market. The company aims to maintain its foothold in China, which currently contributes $17.1 billion in annual revenue, or 13% of its total global sales.

The redesigned chip is currently being tested by Chinese companies, with early feedback indicating positive results. However, the final specifications of the chip may still change based on ongoing discussions with the Trump administration. Nvidia is cautious about the potential for further restrictions and is stockpiling inventories to mitigate financial risks. The company is also aware that demand for this new chip may be lower than for the previously banned H20 chip, as Chinese tech giants like Alibaba, ByteDance, and Tencent are exploring domestic alternatives.

Nvidia's strategy in China involves balancing compliance with US export laws while continuing to serve a market that is increasingly wary of relying on US-based technology. The company's approach includes maintaining its proprietary CUDA system, which makes it costly for companies to switch to new software platforms. This loyalty to Nvidia's ecosystem is a key factor in the company's continued presence in the Chinese market.