The United States administration started to move towards cracking down on the Chinese artificial intelligence company DeepSeek and its US chips supplier, Nvidia Corporation, The New York Times reported on Wednesday, citing three sources familiar with the matter.
Washington is considering penalties that would impede DeepSeek from acquiring US technology and is discussing banning Americans from accessing its services, according to the report.
On the other hand, the House Select Committee on Strategic Competition between the United States and the Chinese Communist Party launched an investigation into Nvidia's chip sales in Asia, aiming to make clear if the chipmaker knowingly made critical technology available to DeepSeek, violating US regulations. Nvidia earlier revealed that it expects to lose $5.5 billion in sales after the US imposed restrictions on the exports of AI-based chips to China.