NextFin news, Chinese state media has publicly stated that Nvidia's H20 artificial intelligence chips are not safe for use in China. The concerns were voiced by Yuyuan Tantian, a social media account affiliated with China's state broadcaster CCTV, which criticized the chips as lacking in technological advancement, environmental friendliness, and security.
The H20 chips were developed by Nvidia specifically for the Chinese market following U.S. export restrictions on advanced AI chips imposed in late 2023. The U.S. had banned sales of these chips to China in April 2025 but reversed the ban in July.
China's cyberspace regulator summoned Nvidia executives on July 31 to inquire about potential security risks, particularly regarding alleged hardware backdoors—hidden methods that could bypass normal authentication or security controls. Chinese state media claimed such backdoors could enable functions like remote shutdown of the hardware.
Nvidia responded by denying that its products contain any backdoors or allow unauthorized remote access or control.
The criticism from Chinese state media follows earlier demands from the Communist Party's flagship newspaper, People's Daily, which called for convincing security proofs from Nvidia to restore market trust. The statements emphasize that Chinese consumers have the option not to purchase products that fail on security, technological, and environmental grounds.
This development occurs amid ongoing tensions between the U.S. and China over semiconductor technology and export controls, with China investing heavily in semiconductor self-sufficiency and the U.S. tightening controls on chip exports to China.
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