Overview

• White House tech czar David Sacks says China’s chip design lag has shrunk to roughly two years and its AI models are only months behind US counterparts.
• Last month the Commerce Department under the Trump administration rescinded the Biden-era AI Diffusion Rule that would have capped exports of high-end GPUs.
• Sacks cautions that overly restrictive export controls could push US allies to adopt Chinese hardware and erode American leadership in semiconductors.
• Huawei’s CloudMatrix384 rack solution demonstrated superior performance on DeepSeek AI models compared with Nvidia’s Chinese-market systems, despite quadruple power draw.
• Nvidia CEO Jensen Huang has criticized export curbs for denying Chinese researchers access to US technology and potentially hampering global AI innovation.