Jensen Huang, Nvidia's founder and CEO, refuted claims during the company’s annual developer conference, asserting that Nvidia was not part of discussions to take over Intel's chip manufacturing. He labeled the reports as erroneous, stating, "If there’s a party, nobody invited me."

Last week, Reuters reported that TSMC, a Taiwanese semiconductor firm, was in dialogue with Nvidia, AMD, and Broadcom to create a joint venture aimed at overseeing Intel’s chip production amid Intel's current operational challenges.

In response, Huang categorically denied these reports, saying, "I don’t know where this originated. No one invited me to the party. Maybe others are part of it, but not me."

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

Countries in the first tier, which include the United States and 17 other nations like Belgium, Canada, Australia, Denmark, France, Germany, and the UK, will experience no export limitations. In contrast, the third tier, comprising China, Russia, Iran, and North Korea, will encounter a complete ban on AI chip exports.

A total of 150 countries, including Poland, Mexico, Israel, Singapore, and the United Arab Emirates, are placed in the second tier, where AI chips can still be exported, albeit within certain computational power constraints.

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

AI is already mainstream. We discuss AI as if it’s some kind of mystical technology, but fundamentally, it's just software. Every nation will have the capability to operate software. If achievable, we’d like to support all countries with American technology and standards. It’s beneficial for countries to have access to the computing power they require, and it’s also advantageous for the United States."

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

"We have a highly adaptable supply network. Not just in Taiwan, Mexico, or Vietnam, but in numerous locations. It’s a complicated matter and depends on which nations the tariffs target. Therefore, we do not anticipate any significant short-term disruptions to our operations. In the long term, we aim to preserve our flexibility through localized production. If we integrate local production into our supply chain by year-end, our situation will be quite favorable. We have the capacity to produce substantially in the U.S. Not everything, but a lot."

Nvidia's Stance on Chip Export Restrictions to China
Huang also elaborated on how Nvidia is addressing the chip export restrictions to China, imposed by the Biden administration in the fall of 2023. He stated, "We are fundamentally committed to operating our business within legal boundaries and maximizing our efforts to compete and serve customers. As the world grows more complex, compliance with the law becomes imperative while striving to serve customers and markets. Fifty percent of the world’s AI researchers are from China. The runner-up isn’t even close. Therefore, it’s logical for there to be a considerable contribution to AI research from China. Every AI lab in the U.S. has numerous outstanding Chinese researchers, without exception. China produces an abundance of excellent computer scientists, so please continue to do so."

Energy Requirements for AI Data Centers
Lastly, Huang spoke about the substantial energy demands for establishing data centers for AI model development. He argued that discussions surrounding energy consumption in AI were mischaracterized. "AI is a new manufacturing industry, and manufacturing necessitates energy. The question is, does a country want to produce AI? If the answer is affirmative, energy is essential. Among all energy-consuming activities, what 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 leadership, Nvidia has solidified its status as a frontrunner in the AI and GPU markets. The company is acknowledged for its groundbreaking contributions to AI, deep learning, and high-performance computing. Huang's comments at the conference illustrate the company’s strategy in addressing global challenges, including international relations, technological innovation, and supply chain adaptability.

Nvidia’s emphasis on AI and machine learning has established it as a key player in data center advancement, AI research, and high-performance computing. Huang's declarations highlight the significance of maintaining a versatile, diversified supply chain and the necessity for worldwide collaboration in AI research and development.

As the company navigates regulatory obstacles, including trade restrictions and export controls, it remains dedicated to broadening its technology and standards globally, ensuring countries and industries have access to essential computing power.

The company's vision for AI reflects a future where nations and industries can fully leverage the potential of artificial intelligence, all while managing the complexities inherent in the global tech landscape.