Chinese regulators reportedly dissuaded local companies from purchasing NVIDIA's H20 chips, because they found certain statements by US commerce secretary Howard Lutnick "insulting."

On July 31, the agency summoned Nvidia executives over alleged “serious security issues”. In a statement, the CAC claimed that US AI experts had revealed Nvidia’s chips have location tracking and can be shut down remotely — a claim strongly disputed by Nvidia.

Chinese officials are miffed over Commerce Secretary Howard Lutnick’s “insulting” remarks about Nvidia’s H20 computer chip — and are now pressuring domestic firms not to buy it, according to a report Thursday.