Democratic Senator Elizabeth Warren called for NVIDIA CEO Jensen Huang to testify regarding the approved sales of H200 AI chips to China. Warren questioned the policy change, citing national security concerns.
The policy shift coincided with a Justice Department announcement. The DOJ revealed a crackdown on a smuggling operation involving the same H200 chips.
NVIDIA responded, stating that sales to China require a U.S. government license. The company added that the volume represents a small percentage of advanced AI chips already sold to American customers. The White House differentiated between regulated exports to designated users and illegal smuggling.
This development creates uncertainty around NVIDIA's access to the crucial Chinese market. China maintains high demand for the company's advanced processors.