London: The CEO of US tech giant Nvidia has issued a stark warning about the United States' position in the global AI race, asserting that China is poised to take the lead. Jensen Huang emphasized the need for optimism in the West, including the US and Britain, during his address at the Financial Times' Future of AI Summit, as reported by The Financial Times.

According to Anadolu Agency, Huang criticized the newly implemented US state-level AI regulations, which he argued could lead to a proliferation of rules across the country. He compared this situation unfavorably with the Chinese government's energy subsidies, which reduce operational costs for local companies using domestic alternatives to Nvidia's AI chips. Huang highlighted the disparity by stating, "Power is free" in China.

These comments arise amid the Trump administration's ongoing ban on the sale of Nvidia's most advanced chips to China, a policy that remains in place despite recent diplomatic engagements between US President Donald Trump and Chinese leader Xi Jinping. Huang has previously expressed concerns that current US AI models only slightly surpass their Chinese counterparts and has urged the US government to open the market for Nvidia's chips to maintain global reliance on American technology.

Following a meeting with Xi Jinping, President Trump reaffirmed his stance, stating that China would not be granted access to Nvidia's Blackwell chips. Trump told CBS News, "The most advanced, we will not let anybody have them other than the United States." White House spokesperson Karoline Leavitt echoed this sentiment, emphasizing that the US has no plans to sell the Blackwell chips to China.