09:41 AM EDT, 05/09/2025 (MT Newswires) -- (Updates with Nvidia's ( NVDA ) response to comment request in the last paragraph.)

Nvidia ( NVDA ) plans to release a reduced-performance version of its H20 AI chip for China by July, following US export restrictions on the original model, Reuters reported, citing three unnamed sources familiar with the matter.

According to the report, Nvidia ( NVDA ) has formulated new technical thresholds to guide the development of the modified chip design, which will have significantly less memory and other performance downgrades.

The move is part of Nvidia's ( NVDA ) strategy to retain its foothold in the Chinese market despite tightening US tech controls, Reuters said.

Nvidia ( NVDA ) declined to comment in reply to a request sent by MT Newswires.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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