On April 29, NVIDIA officially denied recent speculation that it plans to spin off its China operations to circumvent U.S. export controls and freely sell chips in the market.

The rumors, reported by DigiTimes, claimed NVIDIA was quietly launching a “Plan B” that involves setting up a joint venture in China and potentially separating its China business to protect its CUDA software ecosystem. The alleged strategy emerged after Washington blocked exports of NVIDIA's H20 AI chips to China, further tightening its grip on advanced semiconductor exports.

In response, NVIDIA issued a firm denial: “There is no basis for these claims. Publishing unsubstantiated speculation as fact is irresponsible.”

Despite the regulatory challenges, NVIDIA has continued to emphasize its long-standing ties with China. On April 17, CEO Jensen Huang visited Beijing and met with Ren Hongbin, Chairman of the China Council for the Promotion of International Trade. During the visit, Huang reaffirmed the company's 30-year relationship with China and stressed its commitment to providing compliant products tailored to the local market, stating: “We will continue to do our utmost to optimize our portfolio to meet regulatory requirements and remain steadfast in serving the China market.”

While NVIDIA's presence in China is facing increasing pressure due to escalating U.S.-China tech tensions, the company appears intent on staying the course—within the bounds of U.S. regulations.