NVIDIA's Banned AI Chips Double in Price on China's Black Market

NVIDIA's (NVDA) AI chips subject to export restrictions are reportedly seeing their prices double on China's black market. This indicates that despite US efforts to limit technology transfer, high demand continues to drive the procurement of these chips through alternative channels. According to sources, the black market price of the banned chips has reached approximately twice the official selling price. This increase reveals that AI development activities in China are continuing unabated and that demand for NVIDIA's products remains high. The US government decided to restrict the export of NVIDIA's advanced AI chips to China due to national security concerns. However, these restrictions have led to the emergence of informal channels such as the black market, causing prices to rise. In response to these developments, NVIDIA continues its efforts to comply with export controls. The company states that it acts in accordance with legal regulations and does not support black market activities. This is not investment advice.