Although Nvidia is now permitted to sell its H20 HGX GPU to Chinese entities without a mandatory U.S. export license, the company may face an unexpected roadblock. According to a Reuters report, China now questions the security of the processor. China's concerns stem from fears that the hardware might expose user data or contain hidden tracking functions.
The Cyberspace Administration of China (CAC) recently subpoenaed Nvidia for a meeting to explain whether the H20 processor includes any security vulnerabilities. This is essentially a response to a U.S. legislative proposal requiring export-restricted AI accelerators (such as Nvidia's H100, H200, B100, and B200) to include tracking and location-check features. Chinese officials are reportedly worried that such additions could endanger personal information.
