Nvidia CEO Huang Warns Smuggled Chips for Data Centers Are Dead End, June 24

Nvidia CEO Jensen Huang warned on June 24 that attempting to build data centers with smuggled chips is a dead end. He stated Nvidia would provide no support or maintenance services for such systems. Huang emphasized that advanced AI data centers require complete ecosystems including stable hardware, software, network architecture, drivers, cooling systems, security, firmware updates and long-term technical support. Without official backing, smuggled chips become isolated infrastructure. Huang also reaffirmed that if commercial interests conflict with U.S. national security, Nvidia prioritizes national security. This statement follows continued U.S. restrictions on AI chip exports to China, driving prices of black market chips to multiples of legal prices. Nvidia's China market share has dropped from over 90% to zero since 2022 export controls began.
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