Nvidia Corporation assessed that it would lose $5.5 billion in sales due to the United States imposing restrictions on the exports of artificial intelligence-based chips to China, according to a US Securities and Exchange Commission (SEC) filing.
The estimate was based on the expected effects of a previous decision by Washington to restrict the sale of high-end US chips to China, including the H20. The US justified the move by stating the chip could be used in a supercomputer in China.
At the same time, large tech companies have voiced concern about the impact of the escalating trade war between the two countries on the sector.
Nvidia's shares sank 6.33% in the after-hours trade.
