Nvidia placed orders for 300,000 H20 chipsets with contract manufacturer TSMC last week, two sources said, with one of them adding that strong Chinese demand had led the U.S. firm to change its mind about just relying on its existing stockpile.

NVIDIA has ordered 300,000 more H20 AI GPUs from TSMC just weeks after the ban on selling to China was reversed. That's great news for NVIDIA, but some national security experts are sounding the alarm.

China’s cyber regulator called upon Nvidia over tracking and serious security concerns with H20 graphic processing units. The move came after Washington lifted the ban on the AI chip