Nvidia(US:NVDA) Ge Long Hui·2025-07-20 02:55Group 1 - The core issue is that NVIDIA has informed its Chinese customers about limited supply of the H20 chip due to U.S. government restrictions [1][5] - The U.S. government banned the sale of H20 chips in April, leading NVIDIA to cancel customer orders and its production capacity reservations with TSMC [1][2] - TSMC's factories are currently operating at full capacity and have shifted production lines originally intended for H20 chips to other clients [1][3] Group 2 - NVIDIA's CEO stated that manufacturing new chips from scratch takes nine months, and there are no plans to restart H20 production [2] - NVIDIA had been developing an upgraded version of the H20 chip before the ban, which relies on high-performance memory chips primarily supplied by SK Hynix [3] - SK Hynix has indicated limited capacity for supplying the high-end memory chips needed for the upgraded H20 if NVIDIA places additional orders [3] Group 3 - The H20 chip is considered NVIDIA's most powerful AI chip approved for sale to China under U.S. export restrictions [4] - Following the news of potential resumption of H20 chip sales, Chinese AI companies have begun placing orders [5] - NVIDIA is also developing a new chip called RTX Pro GPU for Chinese customers that will comply with U.S. export restrictions [5] Group 4 - The AI hardware sector has seen significant gains, with companies like Xinyi Semiconductor and Pegatron experiencing stock price increases of over 25% since mid-July [6] - Specific stock performance includes Xinyi Semiconductor up 39%, Pegatron up 25%, and Zhongji Xuchuang up 24% [6][7] - The limited supply news combined with substantial price increases in the sector may lead to short-term adjustments for AI hardware-related stocks [7]