AMD Launches Spartan FPGA Family, Boosts AI Team as US Sanctions Challenge China Operations

AMD initially held a smaller portion of the Chinese AI chip market compared to Nvidia, which dominated the space before the imposition of U.S. restrictions in 2022.

However, AMD is now pursuing the AI chip market with greater ambition. In December, it unveiled its new MI300 series, aimed at competing with Nvidia Corp’s (NASDAQ:NVDA) processors.

The product tailored for China has been dubbed the MI309. The identity of the Chinese client interested in purchasing AMD’s AI chips remains unknown, which could affect AMD’s ability to obtain a license if it decides to proceed, SCMP reports.

Previously, Nvidia voiced a lack of significant impact from the China ban despite U.S. chipmakers canvassed the U.S. government to go softer on the ban.

Major Chinese technology firms, including Tencent Holdings Ltd (OTC:TCEHY) and Baidu Inc (NASDAQ:BIDU), have reportedly accumulated sufficient stockpiles of advanced chips from Nvidia-now under U.S. restrictions-to support their chatbot developments for an additional one to two years. In response to the U.S. ban, Huawei Technologies, based in Shenzhen, is working on developing its AI semiconductors and chip-manufacturing capabilities.

The U.S. Department of Commerce has imposed export restrictions on advanced AI processors. To serve its customers in China, AMD designed a chip that aligns with U.S. export regulations, possessing lower performance capabilities compared to its global offerings.