Lawmakers Urge Trump to Review Nvidia Chip Exports to China

U.S. Congress members are urging President Donald Trump to restrict exports of Nvidia's AI chips, particularly the H20 chip, due to its alleged use by the Chinese firm DeepSeek in developing its advanced AI model, R1. This request aligns with ongoing concerns regarding national security and the increasing capabilities of Chinese technology firms. Reports indicate that DeepSeek's R1 model, which claims to outperform U.S. competitors like OpenAI, has led to significant market impacts, including a drop in Nvidia's stock. While Nvidia defends its compliance with export regulations, skepticism surrounds DeepSeek's claims, with some industry leaders alleging it uses banned H100 chips. As the U.S. government considers further export restrictions, analysts point out that increased competition could benefit the AI market by lowering prices and expanding access. The situation underscores the complex dynamics between U.S. tech firms and emerging Chinese competitors amidst evolving regulatory landscapes.