Nvidia asks Foxconn to suspend work for H20 chip, sources say

BEIJING, Aug 22 (Reuters) – Nvidia (NVDA.O), has asked Foxconn to suspend work on the H20 AI chip, the most advanced product the U.S. company is currently permitted to sell to China, two people briefed on the matter said.
AI demand expected to boost electronics giant Foxconn's second-quarter profit
 A Foxconn high energy density solid-state lithium metal battery is displayed at Foxconn?s annual tech day in Taipei, Taiwan October 8, 2024. REUTERS
Foxconn, formally known as Hon Hai Precision Industry Co Ltd, handles backend processing work as one of Nvidia’s component suppliers for the chip.
“We constantly manage our supply chain to address market conditions,” Nvidia said in a statement, declining to elaborate further.

Reporting by Fanny Potkin in Singapore, Liam Mo in Beijing, Wen-Yee Lee in Taipei and Brenda Goh in Shanghai; Editing by Himani Sarkar

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