Nvidia sees no impact on operations, sales to China from new U.S. rules

According to a regulatory filing, on January 16, 2025, the Bureau of Industry and Security, Department of Commerce, published a rule entitled “Implementation of Additional Due Diligence Measures for Advanced Computing Integrated Circuits.” The rule is intended to reduce the diversion of ICs to unauthorized end uses or end users that meet the control parameters of ECCN 3A090 by end users who misrepresent the performance capabilities of their ICs to the foundries that manufacture them or the companies that assemble the ICs, or OSATs, into packages. The rule requires additional diligence for foundries and OSATs to verify technical parameters, although approved IC designers are considered a reliable source to verify technical parameters of the applicable advanced logic ICs. Nvidia (NVDA) Corporation is an approved IC designer and thus the rule is not expected to have an impact on its operations or on product sales to China.