javascript hit counter
Business, Financial News, U.S and International Breaking News

China’s Baidu says it expects ‘restricted’ affect from U.S. chip curbs

“We expect the affect is kind of restricted within the close to future,” Dou Shen, government vice chairman and head of Baidu AI Cloud, stated of the U.S. chip export controls.

Jade Gao | Afp | Getty Pictures

Chinese language tech firm Baidu expects that affect from U.S. chip sanctions on its companies will likely be “restricted,” an organization government stated on Tuesday throughout a Q&A session of its third quarter earnings name.

In October, the US imposed export controls limiting American companies from promoting semiconductors and chipmaking tools to Chinese language chip producers.

“We expect the affect is kind of restricted within the close to future,” stated Dou Shen, government vice chairman and head of AI Cloud group, in response to an viewers member’s query about how the curbs will have an effect on Baidu’s potential to develop its synthetic intelligence cloud computing arm and autonomous driving companies, which rely on superior AI chips.

“A big portion of our AI Cloud enterprise and even wider AI enterprise doesn’t rely an excessive amount of on the extremely superior chips,” stated Shen.

Baidu additionally runs a robotaxi enterprise, Apollo Go, which has secured permits in Beijing, Wuhan and Chongqing’s Yongchuan District to run a totally driverless business robotaxi service in these locations.

“And for the a part of our companies that want superior chips, we have now already stocked sufficient in hand to assist our enterprise within the close to time period,” he stated.

Learn extra about tech and crypto from CNBC Professional

Shen added that Baidu develops its personal AI chip, named Kunlun. He stated Baidu has already began to make use of Kunlun chip to assist some large-scale AI-computing duties internally and to serve exterior clients.

“As a result of we have now full stack of AI capabilities from chips to frameworks to basis fashions and to utility software program, we will obtain a lot increased effectivity as we optimize the AI duties from finish to finish,” Shen stated.

He added that automotive chips are usually not on the prohibited listing. “So, which means that within the close to future, in-vehicle computing is just not affected,” he stated.

An analyst instructed CNBC’s “Squawk Field Asia” Wednesday that Baidu is “completely” a high decide, citing chip resilience as one of many causes.

James Lee on Baidu's chip resiliency

“They’re diversifying the manufacturing into their very own facility and beginning to use their very own chips, Kunlun, for superior purposes,” stated James Lee, a U.S. and China web analyst from Mizuho Securities.

Baidu posted yesterday a better-than-expected acquire in income after value cuts bolstered its backside line. Internet advertising additionally carried out higher than anticipated regardless of difficult financial situations similar to Covid restrictions and inflation.

Baidu inventory rose 2.61% Wednesday and is down 35.7% 12 months to this point.

This text was initially revealed by cnbc.com. Learn the unique article right here.

Comments are closed.