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Nvidia Grilled by China Over Alleged Backdoors in AI Chips

China’s Internet Regulator Questions Nvidia Over H20 Chip Security Concerns

Beijing, China – July 31, 2025 – China’s Cyberspace Administration (CAC) has summoned nvidia for discussions regarding potential security risks associated with its H20 chips, specifically addressing concerns about “backdoor vulnerabilities.” The agency stated that the interview was conducted to safeguard the network and data security of Chinese users.

The CAC cited China’s Cybersecurity Law, Data Security Law, and Personal Details Protection Law as the legal framework for its inquiry. According to a translated statement,the CAC requested Nvidia to provide explanations and supporting materials concerning the alleged security risks in the H20 chips destined for the Chinese market.

The H20 chip is part of a product line Nvidia developed for China following the implementation of tightened U.S. semiconductor export restrictions in 2023.These restrictions aimed to limit China’s access to advanced AI chips that could potentially be repurposed for military or surveillance activities.

Nvidia engineered the H20 chip to comply with U.S. trade regulations by reducing its performance specifications, thereby avoiding the Commerce Department’s thresholds for restricted technology. The chip is based on Nvidia’s Hopper architecture,the same foundation as its high-performance H100 chips,but with modified specifications to navigate export controls.

this advancement comes amidst reports of important quantities of Nvidia AI chips, including models like the B200, H10, and H200, entering China’s unofficial market. an estimated $1 billion worth of these chips were reportedly available through illicit channels last week, with vendors offering pre-assembled systems.

In response to the allegations, an Nvidia spokesperson stated, “Cybersecurity is critically important to us. Nvidia does not have ‘backdoors’ in our chips that would give anyone a remote way to access or control them.”

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