[Source/Observer Network by Ruan Jiaqi]

For Nvidia CEO Jensen Huang's repeated attempts to persuade the US to ease restrictions on chip exports to China, senior officials of the Trump administration are mainly adopting a "I understand you're in a hurry, but you need to calm down" approach.

According to a report by Bloomberg on the 22nd, on Wednesday local time, Sriram Krishnan, the White House's senior policy advisor for artificial intelligence and an Indian-American internet entrepreneur, claimed that even if Huang Renxun repeatedly appeals, the Trump administration will continue to prevent China from obtaining advanced artificial intelligence (AI) technology.

In an interview with Bloomberg Television, he said, "We obviously respect Huang Renxun. However, when it comes to chip restrictions on China, I do believe that there is still widespread concern among both parties in the United States and various sectors about the potential impact these GPU chips may have once they enter China."

However, Krishnan then stated that although the Trump administration still considers there to be so-called "security risks" in easing AI chip exports to China, the government agrees with some of Huang Renxun's views, namely that the U.S. needs to reassess its restrictions on other major trading partners.

Krishnan referred to the fact that the Trump administration has just abolished the "Export Control Framework for the Proliferation of Artificial Intelligence" which was hastily issued by Biden before his resignation. He claimed that this export control measure created a situation where "those with GPUs" and "those without GPUs" exist.

"In other parts of the world, we aim to build a full American AI ecosystem from GPUs to models to top-level applications," Krishnan added. "On this point, I, Huang Renxun, and our team are in agreement."

For example, using projects announced by U.S. companies during Trump's visit to the Middle East in Saudi Arabia and the UAE, Krishnan stated that this proves the U.S. is taking new measures to simplify access to AI technology for its allies. During this period, Trump's entourage held negotiations with Saudi Arabia and the UAE to expand AI chip exports, authorizing the sale of hundreds of thousands of advanced AI chips.

He also claimed that these "relaxed" agreements will still include security clauses to prevent advanced technologies from being illegally transferred to rival countries like China. "These transactions and GPU resources will primarily be operated by American hyperscale enterprises, American cloud service providers, and American companies."

"The operation, hosting, and control of most GPUs will be in the hands of American companies," Krishnan added.

White House Senior Policy Advisor for Artificial Intelligence Sriram Krishnan (right). Screenshot from Bloomberg video.

Bloomberg reported that just hours before Krishnan made the above remarks, Huang Renxun had delivered his strongest public opposition statement yet, criticizing the U.S. for upgrading its chip export restrictions on China.

Reportedly, Huang Shixun, who attended the conference in Taipei, harshly criticized the U.S. export restriction policy as a "failed effort" at a press conference on the 21st, urging the U.S. to lower barriers for chip sales to China, otherwise U.S. companies would lose the Chinese market to their domestic competitors.

"In summary, export controls have failed," he emphasized, stating that the U.S. restrictions have given Chinese enterprises "spirit, vitality, and government support for accelerating their own development."

Huang Renxun further stated that the U.S. export controls on chips have caused Nvidia to lose its dominant position in the Chinese market, with domestic Chinese enterprises filling the gap.

He mentioned that Nvidia's market share in China has dropped from 95% at the beginning of former U.S. President Joe Biden's term to 50%. He criticized that the U.S. embargo not only resulted in Nvidia writing off $5.5 billion due to inventory write-offs but also forced the company to abandon $15 billion in revenue from the Chinese market, costing the U.S. government approximately $3 billion in tax revenue.

At the press conference, Huang Renxun predicted that by 2026, the Chinese AI market size would reach $50 billion. He believed that in the coming years, China remains a huge opportunity for Nvidia.

He said, "China has 50% of the world's AI developers. Importantly, when they are developing architectures, we need to ensure they choose Nvidia technology or at least adopt American technology."

In response to the U.S.' malicious blockade and suppression of China's semiconductor industry, China has repeatedly expressed its firm stance, opposing the U.S.' politicization, over-securityization, and tooling of economic and technological issues. China emphasized that continuously increasing restrictions on chip exports to China, coercing other countries to suppress China's semiconductor industry, such actions hinder the global semiconductor industry's development and will ultimately backfire, harming both others and itself.

According to the website of the Ministry of Foreign Affairs of China, on May 20th, Politburo member and Minister of Foreign Affairs Wang Yi met with Kyeong-Hyeon Kang, president of the Asia Society of America, in Beijing. Wang Yi stated that the U.S. continues to contain and suppress China's legitimate development rights. Recently, it even attempted a comprehensive blockade of China's chips, which is naked unilateral hegemony, and China firmly opposes it.

On May 21st, in response to the U.S.' attempt to globally ban advanced computing chips from China, a spokesperson for the Ministry of Commerce responded that the U.S. measures are suspected of constituting discriminatory restrictive measures against Chinese enterprises. Any organization or individual executing or assisting in the execution of these U.S. measures will be suspected of violating relevant laws and regulations such as the Anti-Foreign Sanctions Law of the People's Republic of China and will bear corresponding legal responsibilities.

This article is an exclusive contribution from Observer Network and cannot be reprinted without permission.

Original source: https://www.toutiao.com/article/7507175148177375794/

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