Google and Microsoft Reportedly Providing Chinese Firms Access to Nvidia AI Chips Despite US Ban

How Google and Microsoft may be providing Chinese tech firms access Nvidia's AI chip despite US ban - Times of India

The US has banned sale of Nvidia's high-performance AI chips to China, however, Chinese companies may still be able to use those processors via data centres run by Google, Microsoft and other tech companies. According to a report by The Information, companies in China gaining access to some of Nvidia's AI chips by renting Nvidia-powered servers at data centres outside China from Google, Microsoft and other global firms underline a gap in US export rules. Notably, both Google Cloud and Microsoft Azure are offering to rent Nvidia's Al chips to Chinese companies, including AI startups, for use in data centres outside China. In fact, a recent report suggested that Elon Musk-owned X was also in talks with Oracle to rent Nvidia's highly in-demand H100 AI processors. "But apart from the biggest US tech giants, there is a whole sector of smaller cloud providers specialising in offering access to Nvidia-powered servers around the world, and their services are available to Chinese customers," the report noted, adding that some of these cloud providers are based in the US, while numerous others are based in Europe and Asia. Chinese firms can access 'banned' AI models via cloud Earlier this month, reports said ChatGPT-maker is blocking access to technology used to build AI products for entities in China because the chatbot is not available in the country. However, the publication reported, developers in China can still access those models via a Microsoft Service. "OpenAI's conversational Al models are available to Chinese businesses-if they sign up for Microsoft's Azure cloud service, which operates in China through a local joint venture," The Information said, citing the company's public statements. Notably, Microsoft operates as a joint venture with local company 21Vianet to offer Azure's OpenAI service in China. Moreover, three Azure China customers even claimed that they got access to OpenAI's models. The TOI Tech Desk is a dedicated team of journalists committed to delivering the latest and most relevant news from the world of technology to readers of The Times of India. TOI Tech Desk's news coverage spans a wide spectrum across gadget launches, gadget reviews, trends, in-depth analysis, exclusive reports and breaking stories that impact technology and the digital universe. Be it how-tos or the latest happenings in AI, cybersecurity, personal gadgets, platforms like WhatsApp, Instagram, Facebook and more; TOI Tech Desk brings the news with accuracy and authenticity.

Google, Microsoft offer Nvidia chips to Chinese companies: report

The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models, U.S. Commerce Secretary Gina Raimondo told Reuters in January.Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips by providing data center services in locations outside China, the Information reported on Wednesday. The Biden administration has taken measures to prevent firms in China from using U.S. technology for artificial intelligence, including advanced semiconductors, as the burgeoning sector raises security concerns. Microsoft, Alphabet, Nvidia and the Department of Commerce did not immediately respond to Reuters requests for comment. The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models, U.S. Commerce Secretary Gina Raimondo told Reuters in January. Microsoft offers server rental services, including those with Nvidia's A100 and H100 chips, to Chinese customers through data centers outside China, the Information reported, citing an employee of the Windows maker with knowledge of the services and a person directly involved in the sales. Google lets customers in China use servers based outside of mainland China, and is confident that its offerings comply with U.S. export controls, the publication said, citing a person familiar with the matter.

Google, Microsoft offer Nvidia chips to Chinese companies, the Information reports

July 17 (Reuters) - Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips by providing data center services in locations outside China, the Information reported on Wednesday. The Biden administration has taken measures to prevent firms in China from using U.S. technology for artificial intelligence, including advanced semiconductors, as the burgeoning sector raises security concerns. Microsoft, Alphabet, Nvidia and the Department of Commerce did not immediately respond to Reuters requests for comment. The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models, U.S. Commerce Secretary Gina Raimondo told Reuters in January. Microsoft offers server rental services, including those with Nvidia's A100 and H100 chips, to Chinese customers through data centers outside China, the Information reported, citing an employee of the Windows maker with knowledge of the services and a person directly involved in the sales. Google lets customers in China use servers based outside of mainland China, and is confident that its offerings comply with U.S. export controls, the publication said, citing a person familiar with the matter. (Reporting by Akash Sriram in Bengaluru; Editing by Devika Syamnath)

Google, Microsoft offer Nvidia chips to Chinese companies, the Information reports

The Biden administration has taken measures to prevent firms in China from using U.S. technology for artificial intelligence Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips by providing data center services in locations outside China, the Information reported on Wednesday. The Biden administration has taken measures to prevent firms in China from using U.S. technology for artificial intelligence, including advanced semiconductors, as the burgeoning sector raises security concerns. Microsoft, Alphabet, Nvidia and the Department of Commerce did not immediately respond to Reuters requests for comment. The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models, U.S. Commerce Secretary Gina Raimondo told Reuters in January. Microsoft offers server rental services, including those with Nvidia's A100 and H100 chips, to Chinese customers through data centers outside China, the Information reported, citing an employee of the Windows maker with knowledge of the services and a person directly involved in the sales. Google lets customers in China use servers based outside of mainland China, and is confident that its offerings comply with U.S. export controls, the publication said, citing a person familiar with the matter. (Reporting by Akash Sriram in Bengaluru; Editing by Devika Syamnath)

Google, Microsoft offer Nvidia chips to Chinese firms: Report

A person walks pass a Nvidia logo at Computex in Taipei, Taiwan, on June 5, 2024. -- Reuters Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips by providing data centre services in locations outside China, the Information reported on Wednesday. The Biden administration has taken measures to prevent firms in China from using US technology for artificial intelligence, including advanced semiconductors, as the burgeoning sector raises security concerns. Google lets customers in China use servers based outside of mainland China, and is confident that its offerings comply with US export controls, the publication said, citing a person familiar with the matter.

Google, Microsoft offer Nvidia chips to Chinese companies, the Information reports

(Reuters) - Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips by providing data center services in locations outside China, the Information reported on Wednesday. The Biden administration has taken measures to prevent firms in China from using U.S. technology for artificial intelligence, including advanced semiconductors, as the burgeoning sector raises security concerns.

Google, Microsoft offer Nvidia chips to Chinese companies: Report - ET Telecom

Internet 1 min read Google, Microsoft offer Nvidia chips to Chinese companies: Report The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models, U.S. Commerce Secretary Gina Raimondo told Reuters in January. Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips by providing data center services in locations outside China, the Information reported on Wednesday. The Biden administration has taken measures to prevent firms in China from using U.S. technology for artificial intelligence, including advanced semiconductors, as the burgeoning sector raises security concerns. Microsoft, Alphabet, Nvidia and the Department of Commerce did not immediately respond to Reuters requests for comment. The Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models, U.S. Commerce Secretary Gina Raimondo told Reuters in January. Microsoft offers server rental services, including those with Nvidia's A100 and H100 chips, to Chinese customers through data centers outside China, the Information reported, citing an employee of the Windows maker with knowledge of the services and a person directly involved in the sales. Google lets customers in China use servers based outside of mainland China, and is confident that its offerings comply with U.S. export controls, the publication said, citing a person familiar with the matter.

Google, Microsoft allow Chinese companies access to Nvidia AI chips: report

Google (NASDAQ:GOOG)(NASDAQ:GOOGL) and Microsoft (NASDAQ:MSFT) are allegedly providing Chinese companies access to Nvidia's (NASDAQ:NVDA) artificial intelligence chips through data centers, according to a report Wednesday in The Information. Although the U.S. Department of Commerce has installed rules preventing China-based companies from importing Nvidia's high-end AI chips, Chinese firms are accessing these through data centers, according to the report. The Biden Administration has proposed requiring cloud companies to determine if foreign entities are accessing U.S. data centers to train AI models, according to Reuters. "We can't have non-state actors or China or folks who we don't want accessing our cloud to train their models," U.S. Commerce Secretary Gina Raimondo said in an interview with Reuters. "We use export controls on chips. Those chips are in American cloud data centers so we also have to think about closing down that avenue for potential malicious activity." Microsoft offers rental services of Nvidia's A100 and H100 chips to Chinese customers through data centers located outside of mainland China, according to The Information, which cited anonymous sources close to the matter. Google also offers Chinese customers access to data center servers, but the company is complying with U.S. export controls, The Information reported. Seeking Alpha reached out to Google and Microsoft, but did not receive comment before publication. More on Alphabet, etc. Nvidia: Prepare For A Correction In H2 2025 Or H1 2026 Nvidia Stock Is Still A Gift At $130 Microsoft: Benefits From OpenAI Partnership Microsoft Azure is 'stable,' Copilot should boost Office: BofA Semiconductors slump amid export curb control fears, Trump's Taiwan comments

Flouting Joe Biden's rules? Google, Microsoft 'sneakily' offer Nvidia chips to China companies: Report

Google and Microsoft's cloud divisions are offering Chinese companies access to Nvidia's AI chips, it was reported. The tech giants are providing data center services in locations outside China, the Information reported. This is being done as the Joe Biden administration has prevented China firms from using US technology for Artificial Intelligence (AI). This includes measures taken by the US to stop supply of advanced semiconductors as concerns over security continue to rise. Earlier this year US Commerce Secretary Gina Raimondo said as per news agency Reuters that the Joe Biden administration has proposed requiring cloud companies to determine whether foreign entities are accessing data centers in the United States to train AI models. The report also details that Microsoft is offering server rental services, including those with Nvidia's A100 and H100 chips, to Chinese customers through data centers outside China. For this, the report cited a Microsoft employee in the know and a person directly involved in the sales. The report also claimed citing sources that Google lets customers in China use servers based outside of mainland China. The Sundar Pichai company is confident that its offerings comply with US export controls, the report added.

Google And Microsoft Provide Nvidia Chip Access To Chinese Firms Despite U.S. Restrictions: Report - Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOGL), NVIDIA (NASDAQ:NVDA)

Google and Microsoft offer AI chips to Chinese firms.Services comply with U.S. export controls. Alphabet Inc's Google GOOGL and Microsoft Corp MSFT are reportedly providing Chinese companies access to Nvidia Corp NVDA AI chips through data centers outside China, The Information reports. The move comes as the current Biden administration imposes restrictions to prevent Chinese firms from utilizing U.S. technology for artificial intelligence, particularly advanced semiconductors. The U.S. has informed allies that it is considering the strictest trade measures available if crucial chipmaking machinery providers continue with their business relations with China. The Biden administration has asked cloud companies to scrutinize whether foreign entities are using U.S. data centers to train AI models. According to the report, Microsoft provides server rental services, including those equipped with Nvidia's A100 and H100 chips, to Chinese customers through data centers located outside China. Similarly, Google allows Chinese customers to use servers based outside mainland China and ensures that its services comply with U.S. export controls. Also Read: Google's Potential $23B Wiz Acquisition Set To Enhance Cloud Security Before U.S. export controls, China accounted for more than a quarter of Nvidia's total revenues. It is to be noted that despite the severe trade curbs, Nvidia is on track to sell $12 billion of artificial intelligence chips in China this year. It is also reported that Nvidia's advanced AI chips are smuggled into China despite U.S. export restrictions. An estimate suggests about 12,500 AI chips are smuggled annually, while Nvidia sold over 2.6 million A100 and H100 chips globally last year. Google and Microsoft maintain that their operations adhere to current U.S. regulations, providing Chinese companies with essential AI capabilities while navigating the complexities of international trade restrictions. Price Action: GOOGL shares are trading lower by 1.63% at $180.93 at the last check on Wednesday. Read Next: Amazon Faces FTC Inquiry Over AI Talent Acquisition From Adept Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Photo via Shutterstock Market News and Data brought to you by Benzinga APIs