U.S. chip maker Nvidia Corp’s NVDA-Q plans to provide technological know-how to China’s Huawei would be thwarted if the U.S. federal government proceeds with a proposal to further restrict shipments to the blacklisted enterprise, a draft report by a authorities contractor exhibits.
The Biden administration has been considering limiting the merchandise it authorizes U.S. businesses to ship to telecoms gear giant Huawei Technologies Co, which was included to a U.S. trade blacklist in 2019 but which continues to get billions in U.S. items below a exclusive program carried out by the Trump administration.
“The proposed 2023 modification of (the Commerce Department’s) licensing will probable have a large financial impression on Nvidia,” according to excerpts of the draft report found by Reuters, referring to the company’s “pending license worth.”
Nvidia’s options to provide to Huawei have not been formerly