The US banned the supply of advanced computer accelerators to China and Russia
NVIDIA may lose $400 million
The United States has banned AMD and NVIDIA from supplying advanced computing accelerators to China and Russia. The ‘red’ manufacturer does not believe that this will affect the financial indicators, but the ‘green’ camp has already begun to calculate possible losses.
Let’s start with AMD. Its representatives said that the Instinct MI250 accelerators were added to the list of sanctioned products, while the Instinct MI100 was not banned. AMD believes that sanctions will not affect business due to small trade turnover with Russia and China. But the company’s shares still fell – by 3.8%.
It is assumed that the need to ban the supply of accelerators was determined based on the level of performance of NVIDIA A100 of the Ampere generation. In the case of the NVIDIA company, the A100 and H100 lines were initially banned. After this information appeared, the manufacturer’s shares fell in price by more than 6%.
NVIDIA said that the termination of the supply of accelerators to China and Russia could lead to a loss of 10% of revenue. This is due to the fact that the American company has already concluded contracts for a total of $400 million. But NVIDIA immediately promised to apply for an export license, which would allow it to carry out deliveries despite the sanctions and, as a result, to keep part of the proceeds. The company later said that the authorities allowed it to sell H100 chips.
