China Finally Cracks the Code Bypassing US Chip sanctions

Although US sanctions on China’s access to technology are severe, Chinese enterprises are discovering methods to circumvent them. The ease with which Chinese AI businesses may get high-end semiconductor technology via third parties must be the most difficult for US officials. The penalties apply to hardware but not to services that use that technology, creating a lucrative market for Chinese cloud providers offering services based on Nvidia A100 processors that underpin generative AI. According to the Financial Times, Shanghai cloud provider AI-Galaxy charges $10 per hour for access to its A100 Nvidia CPUs. One anonymous US cloud vendor said that their A100-based cloud service was attracting Chinese firms attempting to clone ChatGPT. Cloud computing is one method by which Chinese enterprises avoid US sanctions. iFlytek, a Chinese corporation that has been sanctioned for selling surveillance technology to Xinjiang camps, is one that is making use of the cloud workaround. It may train its models by purchasing time on CPUs or GPUs on massive computer clusters. It’s not only the cloud that allows companies to avoid US export rules. According to the Financial Times, another sanctioned AI business, face recognition startup SenseTime, has been utilizing third parties to get prohibited US components. Meanwhile, according to CEO and founder Ren Zhengfei, Huawei, the initial target of US high-tech sanctions, has been overcoming the loss of US technology via hard work. Exploring sustainable science, technology, engineering, green energy and state of the art reinventions of mobility which is part of the transition to a zero-carbon future impacting our lives, civilization and development. Weekly dive and analysis. “How they did it“ and “How it impacts our lives today.“ Kindly Subscribe and hit the notification bell to learn something every day. ► Video Transcripts available on our website at ▬▬▬▬▬▬▬▬▬ ✅FINANCIAL DISCLAIMER This channel’s content should not be interpreted or construed as financial advice. We are not, and do not claim to be, an attorney, accountant, or financial advisor. This channel’s content is not a substitute for financial advice and is solely for entertainment purposes. ▬▬▬▬▬▬▬▬▬ ✅COPYRIGHT DISCLAIMER Exploratics does not own some of the materials compiled in their videos. It belongs to people or organizations who ought to be respected. If used, it falls under the following provisions: Copyright disclaimer section 107 of the Copyright Act 1976. “Fair use“ is allowed for purposes such as criticism, comment, news reporting, teaching, scholarships, and research. ▬▬▬▬▬▬▬▬▬ ✅ Please contact us first if you are the author or owner of any material used herein, but your authorship has not been indicated or you object to its use: exploraticschannel(at)