Nvidia Shifts H200 Chips to Vera Rubin Production as US Mulls Export Controls
Nvidia is halting production of eight H200 chips for China to reallocate capacity to next-generation Vera Rubin hardware, citing zero China revenue in its latest outlook. Meanwhile, US regulators have drafted rules requiring Commerce Department approval for all AI chip exports, which could further constrain Nvidia’s overseas sales.
1. Halting China-bound H200 Production
Nvidia is ceasing output of eight H200 hopper chips previously slated for the Chinese market due to a lack of confirmed orders and a regulatory environment that has yielded zero revenue from China.
2. Reallocating Capacity to Vera Rubin Supply
Manufacturing capacity is being diverted to next-generation Vera Rubin AI processors, which exhibit overwhelming demand and carry no export royalties or government revenue share.
3. Zero China Revenue Outlook
The company’s latest quarterly guidance excludes any China-derived revenue after nearly a year of starts, stops and limited Chinese orders for its AI hardware.
4. Proposed US Export Approval Rules
Draft regulations would require Department of Commerce sign-off on all AI chip exports, potentially restricting Nvidia’s ability to ship high-end GPUs to international customers.