Chinese Firm Nio Claims US Limitations On Nvidia Chips Won’t Harm Them

Nio, a Chinese manufacturer of electric vehicles, joined other automakers in claiming that U.S. restrictions on Nvidia chip sales to China won’t have an impact on the automaker’s operations.

In an effort to lower the possibility that these products would be used by the Chinese military, Nvidia revealed last week that the United States would require the chipmaker to obtain a license before exporting certain products to China in the future.

“We believe this will not have an impact on our business operations,” William Li, founder, chairman and CEO of Nio, said via the company’s translator during an earnings call Wednesday. That’s according to a StreetAccount transcript.

“Based on our estimations, our computing power is sufficient for our autonomous driving technology development in the aspect of the AI training for now,” Li said. “And we have been working very closely with our partner Nvidia.”

For Nio and other Chinese electric car manufacturers, the Nvidia Drive Orin chip has become an essential component of assisted driving technology. Four of these chips, including one that allowed the vehicle to learn from specific driver preferences, were included in Nio’s new ES7 SUV, according to a blog post by Nvidia published online.

The company’s A100 and H100 products, whose sales are a part of its much larger data center business, are the target of the new U.S. restrictions. The goods are artificial intelligence-capable graphics processors.

Li claimed on Wednesday that a lot of Chinese businesses produce artificial intelligence training chips, and Nio is looking into possible partnerships with various businesses.

However, he claimed that Nio’s long-term plan would not be impacted by American restrictions.

Along with autonomous driving start-ups WeRide and Pony.ai, automaker Geely declared last week that it won’t be impacted by the new restrictions.

He Xiaopeng, chairman of electric vehicle start-up Xpeng, was quoted as saying earlier this week by the Chinese financial news outlet Caixin that the limitations would make it difficult for all autonomous driving algorithm training on cloud computing platforms.

However, he claimed that the business had purchased enough of the cutting-edge goods to meet demand in the ensuing years. He made a post on his personal WeChat account, which is comparable to a post on a private Facebook news feed, which Caixin cited.

(Adapted from Reuters.com)

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