Chinese regulators have opened an unexpected cybersecurity investigation into Nvidia’s H20 artificial-intelligence chips designed for the domestic market, Nikkei reported on 3 Aug. Officials say they are concerned the processors could contain hidden backdoors or remote-shutdown functions that threaten national security. The Cyberspace Administration of China described the review as justified and has ordered the U.S. chipmaker to prove the devices and its intentions are “clean” before additional shipments proceed. The H20 is a pared-back version of Nvidia’s high-end Hopper series developed to meet U.S. export-control rules. The probe comes less than two weeks after Washington reversed earlier restrictions, again allowing Nvidia to sell advanced GPUs in China. That policy shift had been expected to accelerate adoption of powerful AI hardware by mainland technology firms. Nvidia countered the accusations on 5 Aug, publishing a blog post stating its graphics processors contain “no backdoors, no kill switches and no spyware.” Embedding such features, the company said, would undermine global digital infrastructure and violate long-standing security principles. China accounted for an estimated US$15 billion in revenue that Nvidia hopes to book in the second half of 2025, underscoring what is at stake for the firm as Beijing tightens scrutiny of foreign technology amid escalating U.S.–China tech tensions.