Nvidia and China: Tensions over alleged H20 chip spying

Last update: 07/08/2025

  • China suspects Nvidia's H20 chips include tracking and remote shutdown technologies.
  • Chinese authorities have demanded explanations and evidence from Nvidia to rule out hidden functions.
  • Nvidia denies the existence of backdoors and defends its commitment to cybersecurity.
  • The suspicion comes in a context of trade war and technological rivalry between the US and China.

Nvidia suspected of espionage

Amid the growing technological rivalry between the United States and China, Nvidia finds itself at the center of an unexpected storm. The sale of its H20 artificial intelligence chips to the Chinese market has sparked concerns about potential espionage and security risks that not only affect the company, but have the potential to shake up the landscape of the global technology sector.

Suspicions were not long in materializing. Beijing and the Cyberspace Administration of China (CAC) have expressed concerns about the alleged ability of the chips H20 de Nvidia to allow remote tracking, localization and control, which could be exploited for the collection of confidential data or even remote shutdown of critical systemsThis context, marked by the usual distrust between the two powers, has led to a series of demands and meetings between the Chinese regulator and representatives of Nvidia.

China demands explanations from Nvidia

Chinese authorities demand explanations from Nvidia

The CAC has been very clear in its position and has required Nvidia to contribute detailed documentation on the potential risks of your chips and demonstrate, with technical support, that there are no back doors or hidden access systems in its components. The regulatory body maintains that The security of Chinese data must be guaranteed and that any foreign technology entering the country must be transparent.

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These claims come after it emerged that US lawmakers have debated laws to demand tracking mechanisms in chips exported to China, thus fueling suspicions among the Asian country's authorities about a possible large-scale espionageSenator Tom Cotton, for example, has been one of those who proposed incorporating remote control technologies into these semiconductors, which has served as a pretext for Chinese authorities to strengthen their research.

For now, Chinese authorities insist that Nvidia offer all possible guarantees and be willing to cooperate. in independent technical audits if necessary, a requirement the company has not rejected, although it maintains its innocence and transparency.

Nvidia responds to accusations

nvidia h20

The American technology company has responded quickly to the Chinese demands, ensuring that Their chips do not incorporate any type of secret spying function.. The firm insists that the Cybersecurity is a central element in its product development and have never provided remote access to third parties through their components.

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Nvidia has expressed its commitment to Chinese authorities to collaborate in resolving concerns. and dispel any suspicions. Although the company claims that the design of the H20 was motivated by the need to comply with US restrictions, it emphasizes that No surveillance features have been introduced. In fact, they have recalled that There is no public evidence to support this accusation, and are willing to provide technical evidence upon request.

The context: trade war and Chinese alternatives

The doubts surrounding Nvidia come amid a trade and technology war between the world's two largest economies. China accounts for about 13% of Nvidia's annual revenue., which is why losing this market would be especially costly for the American firm.

As if that were not enough, the pressure is not only coming from Chinese regulators; Huawei, the local giant, is already pushing its 910C chip. as a national alternative for the development of artificial intelligence. Beijing has also been strengthening its policy of technological self-sufficiency for some time, and in this climate of mistrust, any foreign supplier faces rigorous scrutiny.

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This is not the first time that a similar dispute has arisen between the two powers. On previous occasions, companies such as Micron or Intel They were also subject to accusations of security risks by China, although most cases did not result in formal sanctions.

The Nvidia case exemplifies the complexity of operating in an environment where technology, economics and geopolitics are intertwined. The American company has invested heavily to continue supplying its Chinese customers, producing hundreds of thousands of chips adapted to current regulations, but Now it faces the possibility of its products being banned due to alleged cybersecurity threats., despite efforts to make its processes transparent and convince regulators.

For observers, the background to the dispute mixes both legitimate security concerns and political pressure and commercial strategyChinese authorities appear to be using these suspicions to negotiate better terms or boost local industry, while maintaining a delicate balance to avoid cutting off access to key technology like Nvidia's.

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