US warns companies around the world to stay away from Huawei chips

President Trump’s administration has warned companies worldwide that using AI chips from Huawei could lead to penalties under US export controls, as the Department of Commerce clarified these processors are subject to rules due to likely containing US technology. The bureau is taking a stricter approach by issuing guidance but hasn’t introduced new rules—instead, it’s emphasizing compliance risks for using Huawei’s Ascend chips. Meanwhile, concerns grow over Huawei’s rapid AI chip development, with clusters now outperforming Nvidia’s products on key metrics despite individual chips falling short of Nvidia’s top offerings.