Nvidia Faces china Ban on AI Chips, CEO Expresses Disappointment
Beijing, China - China has effectively blocked the sale of advanced artificial intelligence (AI) chips from Nvidia to chinese companies, citing concerns over anti-monopoly regulations. The move, announced Monday, September 15, 2025, restricts access to crucial technology for China’s rapidly developing AI sector and throws Nvidia’s future business in the region into uncertainty.
The ban stems from China’s inquiry into Nvidia’s 2020 acquisition of Mellanox Technologies, a computer networking supplier. The State Administration for Market Regulation (SAMR) determined Nvidia violated anti-monopoly rules, though specific sanctions have not yet been announced as the investigation continues. This decision arrives amidst escalating geopolitical tensions between the US and China, impacting the flow of critical technologies.
Nvidia founder and CEO Jensen Huang expressed his disappointment with the decision, but affirmed his commitment to both governments. “I am disappointed, but they have a greater agenda to be completed between China and the United States. And I am patient. We will continue to support the government and Chinese companies according to their wishes,” Huang stated at a press conference in London on Thursday, September 18, 2025, as reported by KompasTekno and TechCrunch. Huang also indicated his desire to discuss the situation with US President Donald Trump during a visit to England.
The timing of the ban is significant,as Nvidia’s market valuation recently surpassed Microsoft,fueled by a surge in its stock price – a rise that saw Huang’s personal wealth increase by Rp82 trillion. The restriction on AI chip sales could considerably impact Nvidia’s revenue, given China’s substantial demand for AI technology.
The move underscores China’s increasing assertiveness in regulating its technology sector and its determination to develop domestic alternatives to foreign technologies. The long-term implications of this ban remain to be seen,but it represents a major challenge for Nvidia and a potential setback for China’s AI ambitions.