Nvidia's new RTX6000D chip, designed for the Chinese market, has experienced low demand from major tech firms due to its high cost and underwhelming performance compared to alternatives on the grey market. The chip's launch comes amid increasing scrutiny from Chinese authorities and ongoing U.S.-China trade tensions.

Nvidia CEO Jensen Huang warns that the U.S. is not significantly ahead of China in the AI race, emphasizing that China excels in energy production and AI model adoption. He highlights the need for a nuanced strategy to maintain U.S. leadership in technology, as Chinese companies rapidly advance their own AI capabilities and infrastructure. Huang also stresses the importance of global diffusion of American technology to secure a competitive edge.

Nvidia is working on a new AI chip built on its Blackwell architecture, aimed at outperforming its current H20 model available in China. Although U.S. President Trump has hinted at the possibility of allowing the sale of more advanced chips to China, regulatory approval remains uncertain due to security concerns. Samples of the new chip are expected to be delivered to Chinese clients as early as next month.

Nvidia is working on a version of its latest AI chip, Blackwell, tailored specifically for the Chinese market after facing U.S. export restrictions. The company anticipates having samples available by June, as it aims to navigate the limitations imposed on its sales to China, a crucial market for its technology.

Two individuals have been arrested for attempting to smuggle AI chips from the U.S. to China, which raises concerns about national security and technology export regulations. Meanwhile, Nvidia has reiterated its stance against implementing kill switches for its products, emphasizing the importance of maintaining technological access.