Nvidia Faces Scrutiny Over Alleged AI Support for Chinese Firm DeepSeek
Nvidia shares edged higher despite political scrutiny after a US lawmaker alleged the company assisted Chinese AI startup DeepSeek in optimizing its R1 large language model using H800 chips previously allowed for China. Nvidia denied wrongdoing, stating China’s military does not rely on its technology.
The controversy highlights gray areas in US export controls and the growing importance of software optimization in AI performance. Investors appeared to weigh Nvidia’s denials against its dominant position in global AI infrastructure, as the stock showed resilience amid the allegations.