In response to tightening U.S. export regulations, Nvidia is preparing to introduce a toned-down version of its H20 artificial intelligence chip specifically for the Chinese market. According to individuals familiar with the matter, the revamped chip is expected to debut by July 2025.
This revised H20 chip marks Nvidia’s attempt to sustain its business operations in China—a market that generated approximately $17 billion or 13% of the company’s total revenue in its last fiscal year ending January. The original H20 model, which was once Nvidia’s most advanced AI chip permitted for sale in China, now falls under stricter U.S. export licensing rules imposed last month.
The new version is expected to feature reduced performance capabilities, including a notable decrease in memory capacity, in order to comply with these regulations. Sources indicate that while the hardware specifications are being downgraded, some flexibility may be retained for downstream users to adjust performance through configuration tweaks.
Nvidia has not commented publicly on the development, and the U.S. Commerce Department has yet to issue a statement. Meanwhile, Nvidia CEO Jensen Huang recently visited Beijing to reaffirm the company’s commitment to the Chinese market, underlining its strategic importance.
