China state media says Nvidia must provide 'security proofs' to regain trust

BEIJING (Reuters) -Nvidia must produce "convincing security proofs" to eliminate Chinese users' worries over security risks in its chips and regain market trust, a commentary published by China's state-run media People's Daily said on Friday.

Foreign companies must comply with Chinese laws and take security to be a basic prerequisite, said the commentary - titled "Nvidia, how can I trust you?" - which was published on the paper's social media account.

In a statement sent to Reuters, an Nvidia spokesperson reiterated that "Cybersecurity is critically important to us".

"NVIDIA does not have 'backdoors' in our chips that would give anyone a remote way to access or control them," the spokesperson said.

The commentary appeared a day after Beijing raised concerns over potential security risks in Nvidia's H20 artificial intelligence chip, casting uncertainty over the company's sales prospects in China weeks after a U.S. export ban was reversed.

The Cyberspace Administration of China, the country's internet regulator, said it was concerned by a U.S. proposal for advanced chips sold abroad to be equipped with tracking and positioning functions.

The regulator said it had summoned Nvidia to a meeting to explain whether its H20 AI chip had any backdoor security risks, as it was worried that Chinese user data and privacy rights could be affected.

A backdoor risk refers to a hidden method of bypassing normal authentication or security controls.

(Reporting by Beijing NewsroomEditing by Ros Russell)

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