Comment on U.S. issues warning to NVIDIA, urging to stop redesigning chips for China

• RobotToaster@mander.xyz ⁨11⁩ ⁨months⁩ ago

  I think it’s quite clever actually.

  They clearly realise that if China can’t buy their chips, China will put the full force of a planned economy behind making their own. Once that happens cheap Chinese AI chips will eat their lunch.

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  • abhibeckert@lemmy.world ⁨11⁩ ⁨months⁩ ago

    Everyone thought that would happen with Huawei. What actually happened was several major countries banned Huawei and a lot of the ones that allowed them in are having second thoughts. Germany, for example, is in the early discussion phase to remove Huawei equipment (which is already deployed) from their cell network.

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  • Wrench@lemmy.world ⁨11⁩ ⁨months⁩ ago

    Exactly. They want to maintain their insane margins with their oligopoly. The second you get a viable cheap competitor, it will all come crashing down.

    Of course, it’s a massive undertaking to catch up enough to be feasible. But China has the manufacturing experience, and a government initiative could allocate an insane amount of resources behind it if they were motivated to.

    So it’s obviously in NVidia’s best interest to deter it with appeasement.

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    • Tangent5280@lemmy.world ⁨11⁩ ⁨months⁩ ago

      Also I assume things move much faster there unlike here where every move needs to be scrutinised and approved by 400 different people on 350 different committees.

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      • HerrBeter@lemmy.world ⁨11⁩ ⁨months⁩ ago

        Dictatorships are more efficient, at a cost

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  • 1stTime4MeInMCU@mander.xyz ⁨11⁩ ⁨months⁩ ago

    Good point! Hadn’t thought of that

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• gravitas_deficiency@sh.itjust.works ⁨11⁩ ⁨months⁩ ago

  Really, the only big market that are being targeted by the restrictions is Mainland China (pointedly not including Russia because it’s honestly not a very big market compared to like… New York State or Texas or California)

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  • bobgusford@lemmy.world ⁨11⁩ ⁨months⁩ ago

    Large tech companies have been known to buy out smaller competitors before they become a threat or before somebody else buys them out. Not being able to do so with a government-funded Chinese company, I imagine killing the idea before it takes shape is a prudent business decision.

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• guacupado@lemmy.world ⁨11⁩ ⁨months⁩ ago

  What I don’t get is they are already at like 300% capacity I don’t think there will be any business short falls from selling only to US customers

  Because capitalism is about making EVEN MORE the next year. And EVEN MORE the year after that.

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