This week in tech: AI could face fresh U.S. regulations; Apple gets past $3T
By Louis Juricic and Sarina Isaacs
Investing.com — Here is your weekly Pro Recap on the biggest headlines out of tech this week: Potential new U.S. regulations on AI; concerns on Micron; a continued raft of Tesla downgrades after a red-hot run; Apple's close above $3 trillion.
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AI chip stocks Nvidia (NASDAQ:NVDA) and Advanced Micro Devices (NASDAQ:AMD) lost ground Wednesday after a Wall Street Journal report said the Biden administration is contemplating imposing fresh limitations on the export of artificial intelligence (AI) chips to China.
The move stems from growing apprehensions surrounding the potential dominance of this technology by U.S. adversaries.
A move could be made by the Commerce Department to stop the shipments of AI chips made by Nvidia and other chip makers to customers in China as early as July, the report added. The ban would include the sale of Nvidia's A800 chips without a license.
Despite the latest news, Citi analysts believe AI demand will exceed supply this year and Nvidia can move its chips around. They maintain a Buy rating on the stock.
For the week, Nvidia slipped fractionally to $423.02, while AMD gained 2.4% to $113.91.
Micron's (NASDAQ:MU) fiscal third-quarter earnings came in better than expected, but concerns remained on its China market share risk.
Shares lost 4% on Thursday and continued drifting lower into Friday's close.
The chipmaker said the bottom was in for memory-chip revenue, announcing an adjusted loss of $1.43 a share on revenue of $3.75 billion. Analysts polled by Investing.com anticipated a loss of $1.59 a share on revenue of $3.67B.
Still, the chipmaker warned that
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