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Nvidia directs cloud partners to sell at least 51% of services to non-Chinese firms

Nvidia has instructed cloud computing and data center partners to allocate at least 51% of their capacity to non-Chinese clients, according to a Financial Times report, aiming to curb indirect access to advanced AI hardware.

Illuminated Nvidia logo and signage mounted on the exterior of a company building at night.
Image: @analyticsinme

Nvidia has verbally instructed cloud computing clients and data center operators to ensure that at least 51% of their computing services are sold to non-Chinese companies, according to a report by the Financial Times. The instruction effectively caps business from Chinese customers at 49%, pressing overseas computing partners to scale back their exposure to Chinese firms.[1][3][4][5][6][8][9][10]

The guidance applies to future contracts and specifically targets overseas cloud providers that enable Chinese technology companies to access high-end Nvidia artificial intelligence hardware without importing the physical processors. The shift could disrupt cloud leasing operations internationally, particularly in Southeast Asia, as U.S. export controls tighten. Highlighting the supply disparity, Nvidia B300 server racks are reportedly selling for $2.8 million in China compared with approximately $600,000 internationally.[2][7]

Key facts

  • Nvidia instructed data center and cloud computing partners to sell at least 51% of their services to non-Chinese companies, capping Chinese business at 49%.
  • The directive was delivered verbally to cloud computing clients, according to sources reported by the Financial Times.
  • The guidance applies to future contracts and targets foreign cloud providers that allow Chinese companies to access advanced Nvidia chips remotely without importing them.
  • The restrictions could affect overseas cloud leasing operations, particularly those located in Southeast Asia.
  • Nvidia B300 server racks are reportedly selling for $2.8 million in China versus roughly $600,000 on the international market.

Sources · 9 sources

  1. BL

    Bloomberg@businessPost on X ·

    Nvidia has instructed its cloud computing clients to scale back their exposure to Chinese companies, according to a report https://t.co/Nv0UqViGYy

    Open source
  2. TM

    That Martini Guy ₿@MartiniGuyYTPost on X ·

    Nvidia has moved to restrict China's access to AI hardware Nvidia has instructed global data centre partners to ensure at least 51% of their services are sold to non-Chinese companies The guidance applies to future contracts, targeting overseas cloud providers that allow Chinese technology firms to access advanced Nvidia chips without importing them directly The U.S. has begun tightening exports, with Nvidia's B300 server racks selling for $2.8 million in China, compared with approximately $600,000 internationally

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  3. TH

    Tom's Hardware@tomshardwarePost on X ·

    Nvidia tells data center operators to limit business from Chinese customers with new global restrictions, report claims — allegedly restricted to 49% of the total, ensuring 51% are non-Chinese outfits https://t.co/9sp0VVIvXg

    Open source
  4. WG

    Watcher.Guru@WatcherGuruPost on X ·

    JUST IN: 🇺🇸🇨🇳 Nvidia $NVDA orders data center partners to reduce business with Chinese customers. https://t.co/oEMMATKthx

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  5. FT

    Financial Times@FTPost on X ·

    FT Exclusive: The world’s largest chipmaker has told cloud computing providers that they must now sell at least 51% of their services to non-Chinese companies. What does the move mean for the US-China AI race? https://t.co/9HqAZL5Yka https://t.co/IvIrkCpmBX

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  6. WS

    Wall St Engine@wallstenginePost on X ·

    NVIDIA $NVDA TELLS CLOUD CLIENTS TO SELL AT LEAST 51% OF THEIR SERVICES TO NON-CHINESE COMPANIES - FT

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  7. AI

    Analytics Insight@analyticsinmePost on X ·

    𝗔 𝟱𝟭% 𝗥𝘂𝗹𝗲? 𝗡𝘃𝗶𝗱𝗶𝗮'𝘀 𝗡𝗲𝘄 𝗠𝗼𝘃𝗲 𝗣𝘂𝘁𝘀 𝗖𝗵𝗶𝗻𝗮 𝗼𝗻 𝗘𝗱𝗴𝗲 Nvidia China restrictions could create another challenge for Chinese technology companies seeking access to advanced AI computing power. The chipmaker has reportedly asked global data center partners to direct at least 51% of their services to non-Chinese customers. The move could affect overseas cloud leasing businesses, particularly in Southeast Asia, as US-China competition over artificial intelligence intensifies. #Nvidia #ChinaAI #AIChips #ArtificialIntelligence #USChinaTrade #CloudComputing #TechNews #AnalyticsInsight #AnalyticsInsightMagazine Read More 👇 https://t.co/WZfqN8qGC4

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  8. FT

    Financial Times@FTPost on X ·

    Nvidia orders data centre clients to reduce China exposure https://t.co/C9Taw8DrQM

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  9. TE

    Techmeme@TechmemePost on X ·

    Sources: Nvidia verbally told cloud compute clients to sell 51%+ of their services to non-Chinese companies, imposing new limits on China's access to AI chips (Financial Times) (Visit Techmeme dot com for the link and full context!)

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  10. TE

    TechmemeArticle ·

    Sources: Nvidia verbally told cloud compute clients to sell 51%+ of their services to non-Chinese companies, imposing new limits on China's access to AI chips (Financial Times) Financial Times : Sources: Nvidia verbally told cloud compute clients to sell 51%+ of their services to non-Chinese companies, imposing new limits on China's access to AI chips — Nvidia is ordering its data centre partners to reduce exposure to Chinese customers in a move that further restrains China's ability …

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