Nvidia placed orders for 300,000 H20 chipsets with contract manufacturer TSMC last week, two sources said, with one of them adding that strong Chinese demand had led the U.S. firm to change its mind about just relying on its existing stockpile.

NVIDIA Corporation (NASDAQ:NVDA) is one of the Must-Watch AI Stocks on Wall Street. On July 29, Reuters reported that Nvidia has placed orders for 300,000 H20 chipsets with contract manufacturer TSMC last week driven by Chinese demand.

In the meeting, Chinese regulators demanded that the U.S. chip company provide explanations on “backdoor safety risks” of its H20 chips to be sold in China and submit relevant materials, the office said.