BENGALURU: Nvidia has told its Chinese customers it has limited supplies of H2O chips, the most powerful AI chip it had been allowed to sell to China under US export restrictions, The Information reported on Saturday.

Nvidia said this week that it was planning to resume sales of the H2O chips to China, though under the policy change the US must still approve licenses for the export of the chips.

The US government`s April ban on sales of the H2O chips had forced Nvidia to void customer orders and cancel manufacturing capacity it had booked at chipmaker Taiwan Semiconductor Manufacturing (TSMC), said the report in tech publication The Information, citing two people with knowledge of the matter.

TSMC had shifted its H2O production lines to produce other chips for other customers, and manufacturing new chips from scratch could take nine months, Nvidia CEO Jensen Huang said at a media event in Beijing this week, according to the report.-Reuters