AMD Faces $800M Charge Due to U.S. AI Chip Export Controls

AMD Faces $800M Charge Due to U.S. AI Chip Export Controls
AMD has reported a potential $800 million charge related to new U.S. export license requirements for AI chips. The regulations affect the company's MI308 GPUs, and if AMD fails to secure the necessary licenses, it may incur substantial inventory and purchase commitment losses. The company's stock fell by about 7% in pre-market trading following the announcement. This move by the U.S. government aims to protect national security by restricting AI chip exports to China and other specified countries. Competitor Nvidia also anticipates significant financial impacts from similar regulations.