Nvidia reportedly limits cloud partners' business with Chinese customers
The requirement would apply only to new contracts, with existing agreements unaffected, according to the Financial Times.
Cloud providers partnering with Nvidia must sell at least 51% of their services to companies that are not Chinese, the Financial Times reported, citing five people with knowledge of the requirement. The restriction concerns new contracts rather than agreements already in place.
According to the FT, Nvidia's sales staff and regional teams delivered the instructions orally, without written guidance. The company had not imposed this kind of limit before.
Asked by AFP, Nvidia declined to confirm or deny the reported requirement. In a statement, it linked America's ability to compete in AI to the worldwide success of American AI infrastructure and said US policy encourages cloud providers to use American technology.
Many Chinese technology companies train AI models using computing resources rented from overseas cloud operators. Washington has sought to block that route as part of efforts to keep advanced American chips from Chinese customers. US restrictions on sales of Nvidia's most advanced chips to China date to 2022.
Chinese foreign ministry spokeswoman Mao Ning said she had no knowledge of the FT report. She said Beijing wanted companies of all countries to have a business environment that was fair, transparent and free from discrimination.
