Potential new restrictions on the sale of artificial intelligence semiconductors to China could come with a hefty long-term cost for the American chip industry—and another setback for U.S. relations with Beijing.
The potential export controls would prevent Nvidia NVDA -1.81%decrease; red down pointing triangle and other chip makers from shipping chips used to create powerful AI systems to China without first obtaining a license. The consequences could be severe, said Colette Kress, Nvidia’s chief financial officer.