Connect with us

Published

2 years ago

on

Gina Raimondo, US secretary of Commerce, from left, Antony Blinken, U.S. secretary of state, and Katherine Tai, US trade representative, at a discussion during the US-EU Trade and Technology Council meeting in College Park, Maryland, US, on Monday, Dec. 5, 2022.

Ting Shen | Bloomberg | Getty Images

Shares of Nvidia and Advanced Micro Devices both fell more than 2% in early trading after The Wall Street Journal reported the federal government is weighing new restrictions on exports of sophisticated chips used in artificial intelligence computing to China.

The export restrictions under consideration would be imposed by the Commerce Department and would come after the U.S. government already limited the computing power of chips made for Chinese use. Nvidia and AMD had been impacted by the prior limitation.

Other chipmakers also fell on the news. Marvell and Broadcom both dropped less than 1%, while Qualcomm slipped more than 2%.

Nvidia responded to the earlier restrictions by building a lower-spec chip for the Chinese market. But under the new controls being considered, even that chip, the A800, would be export restricted without licensing, the Journal reported.

The restrictions would also apply to companies that offer cloud-based computing solutions, the Journal reported, which have been used by some companies to skirt export controls.

Competition between the U.S. and China over hardware and software technology has amplified in recent years. Cybersecurity threats from Chinese state-backed threats have been identified by top U.S. officials as one of the top national security threats facing the United States. Sensitive technology has allegedly been stolen from American companies to benefit Chinese domestic competitors, whether through outright industrial espionage or through joint-venture projects, which require American companies to partner with Chinese firms to do business within China.

Against this backdrop, tightened chip export controls would likely further inflame trade tensions between the two countries. U.S. officials have tried to mitigate potential impacts, but a tightening of export controls would likely jeopardize those efforts. Gina Raimondo, who as secretary of Commerce would lead the enforcement of any export controls, met with her Chinese counterpart in Beijing earlier this year.

Nvidia declined to comment, as did the Bureau of Industry and Security, which is the Commerce Department’s export control unit. AMD did not immediately respond to a request for comment.

Correction: The federal government is weighing further restrictions on exporting powerful computing chips to China, the kind that power AI models, The Wall Street Journal reported Tuesday. An earlier version misstated the day.

Related Topics:
Continue Reading

Technology

Ether falls 7% following a multimillion dollar hack of a decentralized finance protocol

Published

54 mins ago

on

November 3, 2025

By

Ether falls 7% following a multimillion dollar hack of a decentralized finance protocol

Representation of Ethereum, with its native cryptocurrency ether.

Dado Ruvic | Reuters

Ether fell as much as 9% on Monday, slipping below its critical $3,600 support level, shortly after a multimillion dollar hack affected a protocol on the token’s native network. 

The cryptocurrency, which is issued on Ethereum, was last down 6.6% at around $3,600, CoinMetrics data shows. That’s roughly 25% off its high of $4,885 hit on August 22. 

The coin’s tumble came after Ethereum-based decentralized finance protocol Balancer on Monday lost possibly more than $100 million in a hack. The exploit marks the latest in a series of bearish events that have put digital assets investors on tenterhooks over the past few weeks.

In mid-October, U.S. President Donald Trump announced “massive” tariffs on China over its restriction of rare earth exports, kicking off investors’ flight from crypto to risk-off assets such as gold. And although the president later walked back that threat, his comments sparked a sell-off that triggered cascading liquidations of highly leveraged digital asset positions. 

Last week, Federal Reserve Chair Jerome Powell cautioned investors about expecting future rate cuts, adding to existing bearish market sentiment.     

“These events have put investors on uneasy footing as we roll into November,” Juan Leon, senior investment strategist at Bitwise, told CNBC. “Macro volatility notwithstanding, this October’s drawdown appears to have been a healthy, albeit sharp, de-leveraging event that flushed speculative excess from the market.”

Some stocks linked to digital assets are also coming under pressure. Coinbase shares were down nearly 4%, while Bitcoin treasury firm Strategy edged down more than 1%.   

Continue Reading

Technology

Nvidia adds nearly $100B in market cap in a matter of days. Here is what’s going right

Published

3 hours ago

on

November 3, 2025

By

Nvidia adds nearly 0B in market cap in a matter of days. Here is what's going right

Continue Reading

Technology

Lambda, Microsoft agree to multibillion-dollar AI infrastructure deal with Nvidia chips

Published

4 hours ago

on

November 3, 2025

By

Lambda, Microsoft agree to multibillion-dollar AI infrastructure deal with Nvidia chips

In this photo illustration, a person is holding a smartphone with the logo of US GPU hardware company Lambda Inc. (Lambda Labs) on screen in front of website.

Timon Schneider | SOPA Images | AP

Cloud computing startup Lambda announced on Monday a multibillion-dollar deal with Microsoft for artificial intelligence infrastructure powered by tens of thousands of Nvidia chips.

The agreement comes as Lambda benefits from surging consumer demand for AI-powered services, including AI chatbots and assistants, CEO Stephen Balaban told CNBC’s “Money Movers” on Monday.

“We’re in the middle of probably the largest technology buildout that we’ve ever seen,” Balaban said. “The industry is going really well right now, and there’s just a lot of people who are using ChatGPT and Claude and the different AI services that are out there.”

Balaban said the partnership will continue the two companies’ long-term relationship, which goes back to 2018.

A specific dollar amount was not disclosed in the deal announcement.

Read more CNBC tech news

Founded in 2012, Lambda provides cloud services and software for training and deploying AI models, servicing over 200 thousand developers, and also rents out servers powered by Nvidia’s graphics processing units.

The new infrastructure with Microsoft will include the NVIDIA GB300 NVL72 systems, which are also deployed by hyperscaler CoreWeave, according to a release.

“We love Nvidia’s product,” Balaban said. “They have the best accelerator product on the market.”

The company has dozens of data centers and is planning to continue not only leasing data centers but also constructing its own infrastructure as well, Balaban said.

Earlier in October, Lambda announced plans to open an AI factory in Kansas City in 2026. The site is expected to launch with 24 megawatts of capacity with the potential to scale up to over 100 MW.

OpenAI signs $38B deal with Amazon: Here's what to know

Continue Reading

Trending