Overview

• Intel has informed Chinese clients that AI chips exceeding specified bandwidth thresholds, including its Gaudi series, now require export licenses.
• The U.S. government aims to curb China's access to advanced AI technology, citing national security and military concerns.
• Nvidia projects a $5.5 billion revenue hit, while AMD anticipates up to $800 million in charges due to the export restrictions.
• China has retaliated with tariffs of up to 125% on U.S. goods, escalating trade tensions and impacting global chipmakers like ASML.
• Intel's stock dropped 3.12% as the AI chip market faces cooling demand, tariff threats, and Big Tech's cautious spending.