AMDs China - specific chip launch rejected by US export controls

Against the backdrop of the US governments continuous strengthening of export control on China, US technology giants are looking for ways to continue operating in the Chinese market, including launching cut - down chips with limited performance. Recently, Advanced Micro Devices (AMD) attempted to launch an artificial intelligence (AI) chip designed specifically for the Chinese market but encountered new challenges. According to a report by Bloomberg on the 5th, although the chip named MI309 has reduced its performance to meet US export restrictions, US officials still consider it too powerful. As a result, AMD cannot sell the product in the Chinese market without obtaining special permission from the US Department of Commerces Bureau of Industry and Security (BIS).

This situation highlights the challenges faced by technology companies in operating in the global market under the current international political and economic background. In October last year, the Biden administration imposed a new round of export controls on China, aiming to restrict the flow of high - end technologies to China, especially those that could be used for military or human rights - abusing purposes. This move directly affected many US technology companies with significant business in the Chinese market.

At the same time, NVIDIA, AMDs main competitor, seems to have made more rapid adjustments in the face of similar restrictions. It is reported that after being subject to US export controls, NVIDIA has launched China - specific chips that meet the regulations twice. Although the performance of these chips has declined, they seem to have successfully circumvented US restrictions and continued to be sold in the Chinese market.

This challenge from AMD reveals the plight of US tech companies in the global market, especially in the Chinese market. On the one hand, they need to comply with the laws and policies of the US government, especially when national security has become an increasingly important issue. On the other hand, the huge potential and current market share of the Chinese market are indispensable to them.

In addition, AMDs latest setback also reflects the complexity of US export control policies and their potential impact on the global supply chain. With the continuous changes in technology and international relations, these policies may need to be continuously adjusted and updated to adapt to new market and technological realities.

Although AMD has not commented on this report, and the US Department of Commerce has also declined to comment on specific cases, this incident will undoubtedly trigger broader industry and policy discussions. The industry will closely monitor the next moves of the US government, and how this may affect the business and strategic planning of AMD and other tech giants globally, especially in the Chinese market.