# Nvidia cuts off China's AI chip workarounds

> Nvidia is forcing foreign cloud providers to stop serving Chinese customers, tightening US export controls on advanced processors.
- Title: Nvidia cuts off China's AI chip workarounds · TechRadar
- Summary: Nvidia is forcing foreign cloud providers to stop serving Chinese customers, tightening US export controls on advanced processors.
- Keywords: nvidia, china, ai chips, export controls, cloud providers, data centres, us policy, TechRadar
- Source: TechRadar — https://techradar.com/pro/nvidia-reportedly-tells-data-center-customers-to-trim-exposure-to-the-chinese-market
- Published: 2026-11-07T01:25:00+00:00
- Read time: 1 min
- Topics: nvidia, china, ai chips, export controls, cloud providers, data centres, us policy, technology
## Nvidia's new revenue rule
Nvidia is requiring foreign cloud providers to generate at least fifty-one percent of revenue from customers outside China to continue business relationships.
## How the rule was communicated
The Financial Times reported Nvidia communicated the requirement verbally through sales representatives and regional management teams during the summer.
## Why China needs foreign providers
Chinese technology companies depend on foreign cloud providers to access advanced processors unavailable through direct purchases, including systems for training large language models.
## The price gap in China
Nvidia's B300 processor rack sells for approximately six hundred thousand dollars internationally but reportedly sold for about two point eight million dollars in China in October two thousand twenty-six.
## Nvidia cuts approved Asian buyers
Nvidia has reduced the number of approved Asian chip buyers by more than half this year and introduced stricter compliance checks to prevent restricted processors reaching China.
## Nvidia's stated rationale
Nvidia said data centres built on American chips are the foundation American companies need to compete worldwide and longstanding US policy encourages building on American infrastructure.

> Data centres and clouds built on American chips are the foundation that American model and application makers need to compete worldwide.
## Impact on foreign cloud operators
A Singapore-based cloud provider said securing sufficient international customers outside America had become difficult and that strict implementation will definitely hurt business.

> If strictly implemented, it will definitely hurt business.
## Key takeaway

Nvidia now requires foreign cloud providers to generate at least fifty-one percent of revenue outside China, disrupting how Chinese AI companies access advanced American processors.