Nvidia CEO Jensen Huang has warned that heightened US export controls on AI chips to China could have unintended consequences, hurting American technological leadership while accelerating China’s push for self-reliance in semiconductors. In an interview with CNN, Huang explained that continued restrictions would limit Nvidia’s business in one of the largest markets for high-end AI chips, and simultaneously provide a powerful incentive for Chinese companies to innovate and fill the gap. Over the past few years, the US government has imposed multiple rounds of export restrictions targeting advanced chips and AI hardware, citing national security concerns. Nvidia, whose cutting-edge GPUs power a large share of AI training worldwide, has seen growing challenges in maintaining access to China. The company has developed modified versions of its top-tier chips to comply with US rules, but additional tightening could render these efforts ineffective. Huang argued that “if America sells no chips to China, they’ll just build it themselves.” He further stated that this could permanently shift supply chains and manufacturing know-how to China, reducing America’s competitive edge in AI hardware. Nvidia’s revenue from China currently represents a significant portion of its data center business. Despite geopolitical friction, Nvidia remains one of the largest beneficiaries of the global AI boom, with massive demand for its GPUs from major tech companies and cloud providers. Huang urged policymakers to strike a balance between national security and economic competitiveness. He emphasized that US companies must continue to lead in innovation, rather than relying solely on export bans. Read more details at CNN.