Jensen Huang, the founder and CEO of Nvidia, refuted claims during the company's annual developer conference, stating that Nvidia was not involved in discussions to gain control of Intel's chip manufacturing operations. He labeled the reports as false, remarking, "If there’s a party, nobody invited me."

Last week, Reuters reported that Taiwanese semiconductor company TSMC was in discussions with Nvidia, alongside AMD and Broadcom, to establish a joint venture aimed at taking over Intel’s chip production amid the company’s ongoing operational difficulties.

In response, Huang categorically denied the allegations, stating, "I don’t know where this came from. No one invited me to the party. Maybe others are involved, but not me."

Nvidia's Position on AI Chip Export Restrictions
Huang also commented on the recent export restrictions imposed by the Biden administration on AI chips during its final days in office. These restrictions classify countries into three tiers.

The first tier includes the United States and 17 other countries, such as Belgium, Canada, Australia, Denmark, France, Germany, and the UK, which will face no export restrictions. Conversely, countries in the third tier, including China, Russia, Iran, and North Korea, will experience a complete ban on AI chip exports.

150 nations, including Poland, Mexico, Israel, Singapore, and the United Arab Emirates, are categorized in the second tier, where AI chips can still be exported but only within certain computing power constraints.

When asked about these export controls, Huang remarked, "In the long run, I believe AI is a technology that every country, every industry, and every company needs."

AI is already becoming mainstream. We discuss AI as though it’s some kind of magical technology, but it’s simply software. Every nation will be capable of running software. If it’s feasible, we’d be glad to support every country with American technology and standards. Providing countries access to the computing power they require is beneficial, and it’s also advantageous for the United States."

Minimal Impact of Trump's Tariffs on Nvidia
Regarding the influence of tariffs from the Trump administration on Nvidia, Huang assessed the impact would be minimal.

"We have a highly flexible supply network, not just in Taiwan, Mexico, or Vietnam, but in many other locations. It's a complex situation, depending on which nations the tariffs target. Therefore, we do not anticipate any significant impact on our operations in the short term. In the long run, we intend to maintain our flexibility through local production. By the end of the year, if we enhance local production in our supply chain, our circumstances will be quite favorable. We possess the capacity to produce a significant amount in the U.S. Not everything, but a large portion."

Nvidia’s Approach to Chip Export Restrictions to China
Huang also spoke about how Nvidia is managing the chip export restrictions to China, introduced by the Biden administration in the fall of 2023. He emphasized, "We have a fundamental commitment to operate our business, comply with the law, and do our utmost to compete and serve our customers. As the world becomes more intricate, we need to adhere to the law while striving to serve customers and markets. China is home to 50% of the world's AI researchers. The second place isn't even close. Therefore, it stands to reason that there should be substantial contributions to AI research from China. Every AI lab in the U.S. has numerous outstanding Chinese researchers, without exception. China produces many excellent computer scientists, so please keep doing that."

Energy Demands for AI Data Centers
Finally, Huang tackled the issue of the considerable energy demands associated with constructing data centers for AI model development. He contended that the conversation about energy consumption in AI was mischaracterized. "AI is a new manufacturing industry. And manufacturing requires energy. The critical question is, does a country wish to produce AI? If the answer is affirmative, energy is essential. Among all the sectors that consume energy, which should be prioritized for production? Cement? Steel? Agriculture? AI? That’s a straightforward question."

Additional Insights on Nvidia’s Strategy and Market Position
Under Jensen Huang’s stewardship, Nvidia has continued to strengthen its position as a leader in the AI and GPU market. The company is renowned for its groundbreaking work in AI, deep learning, and high-performance computing. Huang’s remarks at the conference reflect the company’s approach to global challenges, encompassing navigation of international relations, technological innovation, and supply chain agility.

Nvidia’s emphasis on AI and machine learning has established it as a pivotal entity in data center development, AI research, and high-performance computing. Huang's statements highlight the significance of sustaining a flexible, diversified supply chain and the necessity for global collaboration in AI research and development.

As the company encounters regulatory challenges, including trade restrictions and export controls, it remains dedicated to broadening its technology and standards on a global scale, ensuring access to computing power for countries and industries worldwide.

The company’s vision for AI aligns with a future where nations and industries can fully leverage the potential of artificial intelligence while adeptly navigating the complexities of the global tech landscape.