Nvidia has created location technology that identifies where its computer chips are being utilized. This development comes amid mounting pressure on AI companies to prevent China from acquiring its most advanced equipment.
The functionality will be integrated into Nvidia’s premium Blackwell chips, which are heavily restricted from sale to China due to export controls.
Customers of Nvidia can opt to install this software. A source familiar with the details indicated to Reuters that this initiative is part of the company’s efforts.
This feature is designed for clients to assess Nvidia chips’ performance and can, in some capacity, approximate a chip’s location based on the communication delays with Nvidia’s servers.
Nvidia announced, “We are rolling out a new software service allowing data center operators to track the health and inventory of their entire AI GPU fleet. This customer-installed software utilizes GPU telemetry for monitoring fleet health, integrity, and inventory.”
There’s been bipartisan pressure on Nvidia to ensure its leading chips don’t fall into the hands of Chinese firms that compete against U.S. tech giants like OpenAI and Google to push forward with AI innovations.
This past week, President Trump revealed plans to permit Nvidia to sell its H200 chip—predecessor to the Blackwell model—to China, with a 25% fee to be collected by the U.S. government on each transaction.
This decision was a significant win for Nvidia CEO Jensen Huang, who has been outspoken against sales limitations.
The announcement represented a shift from the Trump administration’s earlier stances, which had curtailed sales of such chips.
Even while sales of Blackwell and future Rubin models remain restricted, some Chinese companies continue to find ways to obtain these chips through illicit means.
Chinese AI firm DeepSeek has created models matching or exceeding the performance of its American counterparts, reportedly utilizing numerous Blackwell chips for its next build.
The smuggled chips were allegedly funneled into China via intricate schemes, including purchasing them in nations not under export restrictions, then disassembling the servers that housed the chips for piecemeal importation into China.
Most of Nvidia’s chips are produced in Taiwan, and the company is one of many grappling with the challenges arising from China’s aggressive pursuit of dominance in the AI sector against the U.S.
In another development, the former CEO of Nexperia, a Dutch chipmaker that produces components for cars and appliances, has admitted to charges concerning the company’s ties to China. Reports indicate that since 2019, Nexperia’s Chinese ownership has sought to transfer its technology and intellectual property to China.
The situation escalated in September when Dutch authorities intervened to regain control of Nexperia.
