Intel and Nvidia are creating AI chips tailored for the Chinese market to navigate US export controls and sanctions.

Intel's upcoming HL-328 and HL-388 chips, from the Gaudi 3 lineup, will feature intentionally reduced performance to meet regulatory demands.

Intel's chips are scheduled for release in June and September, while Nvidia's H20 chips will start delivery in early 2024.

The strategy by both companies is to mitigate risks associated with US export restrictions in the burgeoning AI chip market.