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AI China United States Technology

Banned US AI Chips in High Demand at Chinese State Institutes (reuters.com) 44

High-profile universities and state-run research institutes in China have been relying on a U.S. computing chip to power their artificial intelligence (AI) technology but whose export to the country Washington has now restricted, a Reuters review showed. From the report: U.S. chip designer Nvidia last week said U.S. government officials have ordered it to stop exporting its A100 and H100 chips to China. Local peer Advanced Micro Devices also said new licence requirements now prevent export to China of its advanced AI chip MI250. The development signalled a major escalation of a U.S. campaign to stymie China's technological capability as tension bubbles over the fate of Taiwan, where chips for Nvidia and almost every other major chip firm are manufactured.

China views Taiwan as a rogue province and has not ruled out force to bring the democratically governed island under its control. Responding to the restrictions, China branded them a futile attempt to impose a technology blockade on a rival. A Reuters review of more than a dozen publicly available government tenders over the past two years indicated that among some of China's most strategically important research institutes, there is high demand - and need - for Nvidia's signature A100 chips. Tsinghua University, China's highest-ranked higher education institution globally, spent over $400,000 last October on two Nvidia AI supercomputers, each powered by four A100 chips, one of the tenders showed. In the same month, the Institute of Computing Technology, part of top research group, the Chinese Academy of Sciences (CAS), spent around $250,000 on A100 chips. The school of artificial intelligence at a CAS university in July this year also spent about $200,000 on high-tech equipment including a server partly powered by A100 chips. In November, the cybersecurity college of Guangdong-based Jinan University spent over $93,000 on an Nvidia AI supercomputer, while its school of intelligent systems science and engineering spent almost $100,000 on eight A100 chips just last month. Less well-known institutes and universities supported by municipal and provincial governments, such as in Shandong, Henan and Chongqing, also bought A100 chips, the tenders showed.

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Banned US AI Chips in High Demand at Chinese State Institutes

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  • by Ritz_Just_Ritz ( 883997 ) on Tuesday September 06, 2022 @08:02AM (#62856378)

    Anyone who thinks China won't just use another country/company to straw purchase these "banned" chips is kidding themselves.

    This is just another "do nothing" poke at the eye of an adversary without any meaningful impact.

    In other news, exports of Hershey chocolate to North Korea have been banned. That'll show 'em.

    Film at 11.

    • by Anonymous Coward
      These absolutist arguments fall flat. We know it won't stop 100% of it, but if we can stop 80% of it then it is certainly worth it.

      Anyone moving any significant volume will be easy to notice. Last year country X bought $1M in chips and this year its $100M. Not rocket science to figure out. Add in US intelligence services and I think very few countries would be willing to deal with the possible repercussions of getting caught. It will happen to be sure, but again, this will dramatically decrease Chin
    • It's almost like how guns end up in the hands of criminals while you try to restrict a non-criminal citizen from owning them.
  • by sxpert ( 139117 ) on Tuesday September 06, 2022 @08:05AM (#62856384)

    and there SMIC comes out with similar chips within 6 months...

    • and there SMIC comes out with similar chips within 6 months...

      And six months after that the USA is flooded with cheap Chinese AI chips. Spyware included.

      It's better to be in control but noooo, AC wants to feel like he's "doing something".

      • Indeed, in principle you could make some pretty impressive chips without needing EUV by adopting the approach taking with the cerebras chip.

  • by Anonymous Coward

    This has likely just kicked off a cold war with China well and truly.

    If ever China needed a motivation to put serious effort into creating GPU competition to NVidia then this is it I think. A looooot of engineers will likely be assigned to working on this now I expect.

    • by amorsen ( 7485 )

      China has put tons of effort into making modern chips, for more than a decade, with very little to show for it.

      • You used to be able to say the same about ball point pens
      • "Little"? They made a supercomputer that was #1 in the TOP500 list.
        And they have several GPU manufacturers. At least three. Two started delivering just this year.

    • by splutty ( 43475 )

      Don't worry. China's ingrained corruption will make it very unlikely they'll ever develop anything comparable.

  • If we can't keep Iran from buying non-commodity items like gas centrifuges, how are we going to keep China from acquiring a commodity item like a GPU? There are thousands of Chinese citizens running business around the world willing to act as straw-man purchasers. Most of the countries they are in do not care at all about the US's attempted interdiction. This is just going to marginally raise the price of GPUs for China.
    • by Osgeld ( 1900440 )

      this has nothing to do with GPU's, please try and keep up, its in the fucking title for christ's sake

  • Maybe I'm incredibly lucky, but I'm just a no-name researcher at a mid-tier university, and I have a server with 8 A100s in it. Calling a machine with 4 A100s in it a "supercomputer" sounds like a stretch.

  • The pricing for A100 chips in the quote seems high. In the USA, an A100 SXM4 card with 80GB RAM seems to cost about $15,000. That is based on pricing at 4 for $60,000 at https://bizon-tech.com/bizon-x... [bizon-tech.com]

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