Late last week, tech news headlines were generated by a curious Qualcomm/NUVIA job advertisement. The presence of Xbox-related activities—at the US firm's Redmond, Washington office—has set off watchdog alarm bells. Microsoft's HQ is also located in this Seattle Metropolitan Area business hub. The job description outlined a sales director position—including interesting tidbits: "support sell-in activities for the next generation of Surface and Xbox products built on Snapdragon solutions" and "help define the next generation Surface and Xbox portfolios." Older leaks have suggested Microsoft's weighing up of ARM64 processor architecture, with next-gen Xbox designs in mind. Since the publication of widespread reportage, Qualcomm has edited out any mention of Xbox from the offending job ad. Given the latest evidence, fresh speculation has emerged from online media outlets. In theory, the company's hardware engineers could be formulating a next-gen Arm-based handheld—not directly related to "Project Kennan."

Jez Corden, executive editor of Windows Central, has dismissed many next-gen "handheld" or "home console" projections. Insiders believe that in-progress first-party development centers around AMD (x86) solutions. Similarly, Sony is reportedly collaborating with Team Red. The speculated PlayStation 6 (and a handheld offshoot) has been linked to Zen 6 and UDNA/RDNA 5 IPs. In response to initial claims, Corden reached out to shadowy industry figures. As disclosed in his opinion piece: "sources confirmed to me this morning that the next Xbox systems are not based on Qualcomm chips. There might be some third-party "Designed for Xbox" Arm-based offerings, like the Logitech G Cloud. But, the main plan from Microsoft, at least for now, is for the next-gen Xbox systems to have as much compatibility with your current library as possible. The overheads required to emulate games built for Microsoft's AMD-based systems are beyond what the Snapdragon line up is currently capable of." Today, Digital Foundry pointed out that Microsoft's "Xbox Play Anywhere" marketing campaign has created a looser categorization of related hardware. Thus providing extra scope for adjacent and supplemental devices (in the near future).

US lawmakers are moving forward with a proposal requiring high-performance graphics cards and AI processors to carry built-in geotracking technology to keep sensitive chips out of hostile hands. Senator Tom Cotton of Arkansas introduced the Chip Security Act on May 12, 2025. Under this legislation, the Commerce Department would have the authority to mandate location-verification features in any device subject to US export controls, with manufacturers given six months after enactment to comply. The bill applies to a broad set of products classified under export control classification numbers 3A090, 4A090, 4A003.z, and 3A001.z. That includes everything from advanced AI accelerators and rack-scale servers to certain gaming graphics cards like NVIDIA's GeForce RTX 5090. Manufacturers would be required to embed hardware or firmware capable of reporting each device's physical location back to a centralized registry maintained by the Commerce Department.

Exporters must also notify the Bureau of Industry and Security immediately if a unit is diverted, tampered with, or appears at an unauthorized location. To keep pace with evolving security threats, the legislation calls for a joint one-year study by the Commerce Department and the Department of Defense on potential new tracking and safeguard mechanisms. Following that, the two departments would conduct annual reviews for three years. If they determine that additional measures are warranted, they would have two years to draft and finalize rules that outline new requirements and present a detailed implementation roadmap to Congress. NVIDIA has noted that its current architectures are not built for post-sale tracking, and adding such a capability could delay product launch schedules and increase development costs. AMD and Intel are likely to face similar obstacles, as integrating secure location-verification may require redesigning sensitive intellectual property and altering established supply-chain processes.

The Trump administration is preparing to roll back significant portions of the Biden-era rules that govern global chip exports and AI technology transfers. According to Bloomberg's sources familiar with the matter, the so-called "AI diffusion" framework, due to take effect on May 15, will be scrapped in favor of simpler, bilateral licensing agreements. Under the current plan, rather than sorting about 120 countries into three tiers with differing volume caps, the US will negotiate individual contracts with partners like the United Arab Emirates and Saudi Arabia. Even with these changes, restrictions on China's access to advanced chips will stay firmly in place, and may even be reinforced. The proposed regulations are expected to maintain the outright ban on shipments to China, Russia, Iran, and North Korea, while adding stricter oversight for nations that have previously rerouted US-origin semiconductors toward Beijing's AI and military programs. US officials are also considering lowering the notification threshold for smaller shipments, from 1,700 NVIDIA H100 equivalent units down to around 500, to close loopholes used by alleged smuggling networks.

Industry reaction has been mixed but largely positive. Chipmakers saw their share prices climb when news of the repeal broke, citing hopes for clearer rules and fewer compliance headaches. Governments in Southeast Asia and Eastern Europe are watching closely and urging Washington to provide detailed guidance during the transition to avoid market disruptions. The AI diffusion rule was introduced in January 2025 with the goal of drawing countries such as India, Malaysia, and Poland into a more stringent export regime. Critics have argued that its complex, tiered system stifled innovation and diplomatic flexibility. The incoming framework will instead rely on targeted, outcome-driven accords that tie access to strategic investments and broader trade incentives. An official announcement could come as soon as Thursday, just before President Trump's trip to the Middle East. Final details are expected to be released in the coming weeks, marking a new chapter in US semiconductor diplomacy.

Xbox players worldwide are facing sticker shock this week as Microsoft quietly implemented significant price increases across its latest hardware lineup and select first-party titles. The standard Xbox Series X with 1 TB of storage now carries a suggested retail price of $599.99, up from $499.99. The digital-only Series X has jumped to $549.99, and the special Galaxy Black 2 TB edition now lists at $729.99, compared with its original $599.99 launch price. Meanwhile, the more affordable Xbox Series S saw its 512 GB model climb from $299.99 to $379.99. A newly introduced 1 TB version of the Series S is now priced at $429.99. European customers will pay €349.99 for the base Series S and €599.99 for the standard Series X, while in the United Kingdom, those figures are £299.99 and £499.99, respectively.

Microsoft has also raised prices on accessories. The basic wireless controller increased from $59.99 to $64.99 in the U.S., and the Xbox Wireless Headset now costs $119.99 in North America. Some specialized peripherals, such as the Adaptive Controller and Adaptive Joystick, remain at their previous prices, relieving gamers needing those devices. On the software side, specific first-party titles launching this holiday season will carry a $79.99 price tag instead of the usual $69.99. Digital buyers will continue to benefit from Xbox Play Anywhere, which allows a single purchase to cover both console and PC versions at no extra charge. Importantly, Xbox Game Pass subscription fees are unchanged for now, even though Microsoft tweaked console and subscription pricing as recently as mid-2024 and made a minor adjustment in June 2023. In a statement, Xbox leadership acknowledged that these changes will be tough on fans. Still, the leadership said rising development, manufacturing, logistics costs, and ongoing trade-policy uncertainties drove them.

The Trump administration is preparing substantial changes to the Biden-era Framework for AI Diffusion controlling advanced semiconductor exports. Sources close to the Reuters indicate officials will replace the current three-tier country classification with a unified government-to-government licensing system requiring bilateral approval for US chip acquisitions. The existing framework, implemented in January 2025, permits unrestricted exports to 17 allied nations plus Taiwan, imposes volume caps on roughly 120 countries and blocks shipments to China, Russia, Iran, and North Korea. Current regulations exempt orders below 1,700 NVIDIA H100 equivalent units from full licensing requirements, needing only a notification.

Former Commerce Secretary Wilbur Ross, acting as an informal adviser, verified that bilateral government agreements are under review. Officials are also considering reducing the notification threshold from 1,700 to approximately 500 H100 equivalents to address circumvention concerns. The proposal has drawn criticism from industry figures, including Oracle Executive VP Ken Glueck and a coalition of seven Republican senators who have urged Commerce Secretary Howard Lutnick to withdraw the existing framework entirely. The administration faces pressure to finalize regulations before the May 15 compliance deadline, balancing security objectives with trade considerations. An announcement is expected before the month's end.

After the infamous US trade war escalated tariffs on Chinese goods to as high as 145%, many PC hardware and peripherals vendors have felt the pressure, with hardware companies, like Framework, previously both increasing prices on certain products and suspending orders on others altogether. In the case of Framework, this was later overturned when the US administration announced an exemption for certain electronics, including smartphones and computers. 8BitDo, however, has not been so lucky, with Polygon recently discovering that items not currently in the US warehouse cannot be shipped to the US. We confirmed this with a brief test of our own and found the same warning that our order could not be shipped to the US.

Curiously, there are no warnings on individual product pages or anywhere else on the 8BitDo website that give any indication that 8BitDo will not be able to fulfil orders with US shipping addresses. It's only after the products are added to the cart and buyers head to check out that the warning appears. In the case of Polygon, the warning specified which items could not be fulfilled, indicating that US warehouses still had stock of certain items, but when we tested it, the warning was less specific, reading only "Shipping not available. Your order cannot be shipped to the selected address. Review your address to ensure it's correct and try again, or select a different address." Amazon, on the other hand, still seems to have stock for at least some of 8BitDo's items available. We tested the 8BitDo Retro Mechanical Keyboard C64 Edition, which is unavailable via the 8BitDo site but is still listed at $99.99 on Amazon. Recently, Nintendo Switch 2 pre-orders were also suspended due to US tariffs on Chinese goods, and Gamers Nexus also recently published a deep dive detailing the sweeping effects of the increased pricing and uncertainty from the perspective of various US-based PC hardware vendors and system integrators.

Earlier this month, Kingston's new Fury Renegade G5 PCIe 5.0 NVMe SSD leaked, albeit without pricing, but now the company has revealed the pricing both in the US and the UK and to be frank, it's not all that competitively priced. As reported, the Fury Renegade G5 will come in three sizes, 1 TB, 2 TB and 4 TB and Kingston went with Silicon Motions SM2508 controller, rather than the more commonly used Phison E26, for its first PCIe 5.0 NVMe SSD. There's little between the two controllers in real world performance tests, but the SM2508 is faster on paper.

So what about the pricing then you ask? Well, the 1 TB SKU starts at US$203.99 or £182.16 (inc VAT) if you live in the UK. Considering you can get a 1 TB Crucial T705 for US$160 or a 1 TB Samsung 9100 Pro for US$199.99, it seems like Kingston's pricing is a bit off, since their Fury Renegade G5 is unlikely to offer any tangible performance advantages. The 2 TB SKU is listed at US$329.99 / £295.92, while the 4 TB SKU comes in at US$629.99 / £563.04, making the 4 TB SKU one of the most expensive 4 TB consumer NVMe SSDs in the market. Samsung's 9100 Pro retails for around US$550 in comparison, although the Crucial T705 comes in at US$687 in the 4 TB SKU. It seems like PCIe 5.0 NVMe SSD's, especially at larger storage sizes are going to continue to be a premium product for now.

Intel's latest AI-focused laptop processors, "Lunar Lake" and "Meteor Lake," have encountered slower-than-anticipated uptake, leading device manufacturers to increase orders for the previous-generation "Raptor Lake" chips. As a result, Intel 7 manufacturing lines, originally intended to scale up production of its newest AI-ready CPUs and transition to newer nodes, are now running at full capacity on "Raptor Lake" output, limiting the availability of both the new and legacy models. In its first-quarter 2025 financial report, Intel recorded revenue of $12.7 billion, essentially flat year-over-year, and a net loss of $821 million. The results fell short of the industry's expectations, and the company's stock declined by more than 5% in after-hours trading.

Management attributed the shortfall to cautious buying patterns among OEMs, who seek to manage inventory in light of ongoing US-China tariff discussions, and to consumer hesitancy to pay higher prices for AI-enabled features that are still emerging in mainstream applications. CEO Lip-Bu Tan outlined plans to reduce operating expenses by $500 million and lower capital expenditures by approximately $2 billion to address these challenges in 2025. He also confirmed that workforce reductions are planned for the second quarter, though specific figures were not disclosed. Looking ahead, Intel intends to focus on strengthening its data-center business, where demand for Xeon processors remains robust, and to prepare for the late-2025 introduction of its Panther Lake platform. The company will also continue efforts to encourage software development that leverages on-device AI, aiming to support wider adoption of its AI-capable hardware.

Global PC shipments grew 6.7% YoY in Q1 2025 to reach 61.4 million units, according to Counterpoint Research's preliminary data. The growth was mainly driven by PC vendors accelerating shipments ahead of US tariffs and the increasing adoption of AI-enabled PCs amid the end of Windows 10 support. However, this surge may be short-lived, as inventory levels are likely to stabilize in the next few weeks. The impact of the US tariffs is expected to dampen the growth momentum in 2025.

Apple and Lenovo delivered strong performances in the quarter, largely due to new product launches and market dynamics. Apple experienced 17% YoY growth in shipments, driven by its AI-capable M4-based MacBook series. Lenovo's 11% growth reflected its expansion into AI-enabled PCs and its diversified product portfolio. Lenovo remained the brand with the largest market share during the quarter. HP and Dell, on the other hand, benefited from the US market pull-ins during the quarter, with 6% and 4% YoY growth respectively, and maintained their second and third places in Q1. We also found that the pull-ins happened for other major brands too ahead of the tariff uncertainty, leading to the market share further consolidating around major brands.

TSMC has acknowledged fundamental visibility limitations in its semiconductor supply chain, stating in its latest annual report that it "inherently lacks visibility regarding the downstream use or user of final products." This disclosure relates to an incident where 7 nm chips manufactured for Sophgo were later identified in Huawei's Ascend 910B/C AI accelerators, whose hardware is subject to US export restrictions. The contract foundry outlined its standard process: receiving GDS files through intermediaries, validating technical specifications, creating photomasks, and fabricating wafers without insight into end applications. Subsequent analysis revealed that those very chips matched Huawei's specifications, providing components for approximately one million dual‑chiplet AI accelerator units, with two million dies shipped to Huawei.

The report warns that compliance violations by supply‑chain partners, such as failing to secure proper import, export or re‑export permits, could trigger regulatory investigations and penalties, even when TSMC adheres to its established protocols. US already proposed a $1 billion fine for TSMC. This visibility gap just shows that challenges in semiconductor manufacturing, where complex distribution networks obscure the path between fabrication and deployment, are not easily overcome. Foundries are facing increasing pressure to enhance tracking capabilities despite the inherent limitations of the contract manufacturing model. US sanctions on Chinese companies are growing their walls even higher, and this could mean that sanction-abiding companies might avoid doing business with Chinese entities altogether to avoid getting fined.

Chinese hardware enthusiasts and AI researchers are rolling out custom versions of NVIDIA's latest flagship GPU, the GeForce RTX 5090D "Blackwell" variant for China. Originally intended as a special model that complies with US export regulations, the RTX 5090D is proving to be an excellent choice for smaller AI labs. Building on the trend set by specialist firms modifying the RTX 3090 and RTX 4090, these teams have taken the GB202 chip and mounted it on new PCBs with blower‑style coolers better suited to AI server racks than gaming rigs. Instead of large fans and complex heatsinks, each card uses a dual‑slot blower design that pushes hot air straight out the back of the chassis.

The power connector has also been moved to the rear bracket, making it easier to stack cards in clusters without cables getting in the way. Each unit still packs 32 GB of GDDR7 memory and a PCIe 5.0 x16 interface, although the maximum power draw remains unconfirmed. While previous "D" series cards topped out around 450 W, with Blackwell, this figure might approach 575 W, similar to the regular RTX 5090. This blower cooler could be undersized for a near‑600 W TDP, but with undervolting and underclocking, it may operate with stability over long workloads. Given that Chinese AI labs are struggling to acquire enough GPU capacity, some smaller labs and university researchers are possibly far away from getting enough compute resources for their work. So, repackaging these GPUs into workstation bodies is the only choice to get some acceleration in the hands of the masses.

On the back of TSMC's first quarter report, news is coming out of Taiwan that the company is expecting to produce as much as a third of its sub 2 nm chips in its US fabs, at some point in the future. This is according to comments made by TSMC's chair and CEO C.C. Wei during its online investors conference. As we've already mentioned, TSMC is looking to expand in Arizona with a further two fabs later this year, both targeting sub 2 nm chip production, but the comments by the CEO suggests that these might be bigger fabs than initially expected, if they're going to be able to produce as much as a third of all of TSMC's sub 2 nm output by some time around the next decade.

Apparently the move to build the new fabs is due to increased demand from TSMC's US customers, which includes AMD, Apple, NVIDIA, Qualcomm and Broadcom, to mention its biggest US customers. It seems like those that are planning to produce chips at TSMC's new fabs in the US are accepting an increase in cost, although it has apparently been framed as a value proposition from TSMC's side towards its customers, which have accepted it as such. At the same time Wei once again refuted that TSMC is in any kind of talks with Intel or any other companies about joint ventures, technology licensing or technology transfer. This should put further rumours about any form of joint venture to rest for now.

President Trump's administration has announced that NVIDIA's H20 AI chip will require a special export license for any shipment to China, Hong Kong, or Macau for the indefinite future. The Commerce Department delivered the news to NVIDIA on April 14, 2025, citing worries that the H20 could be redirected into Chinese supercomputers with potential military applications. NVIDIA designed the H20 specifically to comply with earlier US curbs by scaling back performance from its flagship H100 model. The H20 features 96 GB of HBM3 memory running at up to 4.0 TB/s, delivers roughly 296 TeraFLOPS of mixed‑precision compute power, and offers a performance density of about 2.9 TeraFLOPS per die. Its single‑precision (FP32) throughput is around 74 TeraFLOPS, with FP16 performance reaching approximately 148 TeraFLOPS. In a regulatory filing on April 15, NVIDIA warned that it will record about $5.5 billion in writedowns this quarter related to H20 inventory and purchase commitments now blocked by the license requirement.

Shares of NVIDIA fell roughly 6 percent in after‑hours trading on April 15, triggering a wider sell‑off in semiconductor stocks from the US to Japan. South Korea's Samsung and SK Hynix each slid about 3 percent, while AMD also dropped on concerns about broader chip‑export curbs. Analysts at Bloomberg Intelligence project that, if the restrictions persist, NVIDIA's China‑related data center revenue could shrink to low‑ or mid‑single digits as a percentage of total sales, down from roughly 13 percent in fiscal 2024. Chinese AI players such as Huawei stand to gain as customers seek alternative inference accelerators. Commerce Secretary Howard Lutnick has pledged to maintain a tough stance on chip exports to China even as NVIDIA commits up to $500 billion in US AI infrastructure investments over the next four years. Everyone is now watching closely to see whether any H20 export licenses are approved and how long the ban might remain in place.

NVIDIA is working with its manufacturing partners to design and build factories that, for the first time, will produce NVIDIA AI supercomputers entirely in the U.S. Together with leading manufacturing partners, the company has commissioned more than a million square feet of manufacturing space to build and test NVIDIA Blackwell chips in Arizona and AI supercomputers in Texas. NVIDIA Blackwell chips have started production at TSMC's chip plants in Phoenix, Arizona. NVIDIA is building supercomputer manufacturing plants in Texas, with Foxconn in Houston and with Wistron in Dallas. Mass production at both plants is expected to ramp up in the next 12-15 months. The AI chip and supercomputer supply chain is complex and demands the most advanced manufacturing, packaging, assembly and test technologies. NVIDIA is partnering with Amkor and SPIL for packaging and testing operations in Arizona.

Within the next four years, NVIDIA plans to produce up to half a trillion dollars of AI infrastructure in the United States through partnerships with TSMC, Foxconn, Wistron, Amkor and SPIL. These world-leading companies are deepening their partnership with NVIDIA, growing their businesses while expanding their global footprint and hardening supply chain resilience. NVIDIA AI supercomputers are the engines of a new type of data center created for the sole purpose of processing artificial intelligence—AI factories that are the infrastructure powering a new AI industry. Tens of "gigawatt AI factories" are expected to be built in the coming years. Manufacturing NVIDIA AI chips and supercomputers for American AI factories is expected to create hundreds of thousands of jobs and drive trillions of dollars in economic security over the coming decades.

Sony has announced that it has increased its pricing for the Playstation 5 consoles by around 25 percent from today in several regions. For now, it's Europe, Middle East, Africa, Australia and New Zealand that are being affected, but there are reports of Sony also planning on increasing the price in the US by at least 30 percent. Sony's official reason behind the rather steep price increase is due to "a backdrop of a challenging economic environment, including high inflation and fluctuating exchange rates".

The new pricing for the PS5 Digital Edition will be €499.99 in the Eurozone, £429.99 in the UK, AU$749.95 in Australia and NZ$859.95 in New Zealand. Sony didn't reveal pricing in other currencies and instead says to check with your local retailer for the new pricing. For now, the EU and the UK avoid price hikes on the PS5 with Ultra HD Blu-ray disc drive as Sony so elegantly calls it, whereas in Australia it'll increase to US$829.95 and in New Zealand it'll cost NZ$949.95. Sony will also announced a decrease in the price on the stand alone Blu-ray drive today and it will cost €79.99, £69.99, AU$124.95 and NZ$139.95. The PS5 Pro is not receiving a price hike for the time being.

As the US works to bring more semiconductor manufacturing back home, the machines needed to turn silicon into the world's most advanced processors are becoming pricier and harder to get, thanks to tariffs. Foundries building new fabs report that the specialized equipment they rely on, everything from extreme ultraviolet (EUV) lithography steppers to chemical vapor deposition chambers, carries a roughly 15% premium compared with similar gear sold overseas. Several forces are at play. The raw materials, high‑grade quartz for vacuum enclosures, and exotic metal alloys for precision optics have climbed in price. At the same time, key components like ultra‑accurate motion stages and alignment sensors are in short supply, sometimes stretching lead times for critical subsystems well beyond 18 months. For a fab racing to move from a 7 nm to a 5 nm process, those delays can mean missing tight ramp‑up targets and pushing out product launches.

Smaller chipmakers feel the squeeze the hardest. With fewer orders to negotiate volume discounts, second‑tier foundries may see their capital budgets balloon by 20 percent or more. In response, some are taking a mixed approach, sourcing commoditized tools such as oxidation furnaces and rapid thermal processors from multiple suppliers while reserving single‑vendor deals for high‑stakes systems like EUV scanners. Government support through the CHIPS Act offers a partial safety net, helping to subsidize capital expenditures. Yet even with grants and tax credits, the challenges will remain. Success will hinge on tight coordination between fabs, equipment makers, and policymakers to tame rising costs, shorten delivery schedules, and keep America's chip renaissance on track.

High-performance GPUs manufactured in Taiwan could now enter the US market tariff-free through a technical loophole in the United States-Mexico-Canada Agreement (USMCA), found by a research firm SemiAnalysis. Companies can route Taiwan-made GPUs through assembly facilities in Mexico and Canada, effectively circumventing the 32% import duty that would otherwise apply to direct shipments from Taiwan. The exemption hinges on a Most-Favored-Nation clause within the USMCA framework that specifically classifies digital processing units (HTS 8471.50), automatic data processing machine units (HTS 8471.80), and their associated components (HTS 8473.30) as "originating goods." This classification applies regardless of manufacturing origin, creating a duty-free pathway for NVIDIA HGX boards, GB200 baseboards, and RTX GPU cards that undergo final assembly in North American facilities.

The strategy capitalizes on two complementary policy mechanisms. First, President Trump's March 7 executive orders maintained existing USMCA exemptions, preserving the duty-free status for compliant goods from Canada and Mexico. Second, the USMCA's expanded definition of originating products creates a classification framework that treats assembled servers and related components as North American products despite their core manufacturing in Taiwan. For US technology firms, the additional logistical complexity of cross-border assembly operations is offset by eliminating substantial import duties on these high-value components. This practice mirrors established protocols in agricultural imports, where products like Mexican avocados gain preferential treatment under similar origin rules. The global supply chain is adapting quickly, especially in high-margin areas like GPUs, which power AI workloads. We are yet to see how companies set up manufacturing and logistics in the new era of tariff-driven narrative.

Today, the European Commission unveiled its AI Continent Action Plan, establishing a framework to enhance the EU's artificial intelligence computing infrastructure. The plan centers on developing five "AI Gigafactories," each housing approximately 100,000 specialized AI accelerator chips, quadrupling the training throughput capacity of current infrastructure projects. The €20 billion commitment from the EU's InvestAI fund will finance data center construction and semiconductor procurement, supplementing the €10 billion allocated to thirteen smaller AI factories scheduled to become operational by 2026. Site selection remains pending, though Germany's incoming administration under Chancellor designate Friedrich Merz intends to secure a facility within German territory. The Action Plan addresses data infrastructure through Data Labs tasked with standardizing datasets from research institutions and industry partners.

An upcoming Data Union Strategy will establish protocols for cross-border information sharing, creating a unified market for AI-ready data resources across member states. With only 13.5 percent of EU enterprises currently using AI in production environments, the Commission will implement an "Apply AI" initiative focusing on deployment in strategic sectors. This program will utilize European Digital Innovation Hubs to provide implementation support. For talent development, the plan includes fellowship programs, visa pathways for specialized non-EU professionals, and an AI Skills Academy offering training in generative models and machine learning operations. An AI Act Service Desk will provide technical guidance on regulatory compliance. The AI arms race is currently being fought on the front between the US and China, where AI labs are acquiring more accelerators and outputting better models almost weekly. In the EU, the goal is to have AI development on par with the two superpowers, leading to more competition and advancements.

NVIDIA has confirmed that its Verified Priority Access (VPA) program for the GeForce RTX 50 Series remains active following its initial announcement two months ago. The program allows a limited number of US-based GeForce account holders to purchase RTX 5090 and RTX 5080 Founders Edition cards directly from the NVIDIA Marketplace. The VPA scheme was introduced three weeks after the RTX 50 Series launch to address supply shortages and high reseller prices. Initially, two months ago, users with NVIDIA Accounts created on or before January 30, 2025, at 6 AM Pacific Time, could register their interest through an online form. Invitations would have been emailed to qualifying account holders, with the first notifications scheduled for next week.

This pilot program applies only to US GeForce users and is limited to the RTX 5090, RTX 5080, and RTX 5070 Founders Edition cards. The recently released RTX 5070 Ti is not included and must be purchased through AIB partner custom designs. NVIDIA has not disclosed how many priority access slots are available or whether the program will expand internationally. All we know is that an NVIDIA representative on Reddit posted, "VPA for the GeForce RTX 50 series Founders Edition graphics cards has not ended," responding to an alleged VPA program rumor that it has ended. If the US pilot is successful, the company may consider adding more markets and product lines. Eligible users should watch their inboxes for an invitation to buy at the original MSRP.

TSMC is confronting a potential $1 billion-plus penalty from the US Commerce Department after inadvertently fabricating compute chiplets later integrated into Huawei's Ascend 910 AI processor. The fine, potentially reaching twice the value of unauthorized shipments, reflects the scale of components that circumvented export controls limiting Chinese access to advanced semiconductor technology. The regulatory breach originated in late 2023 when TSMC processed orders from Sophgo, a design partner of crypto-mining firm Bitmain. These chiplets, which are manufactured on advanced process nodes and contain tens of billions of transistors, were identified in TechInsights teardown analysis of Huawei Ascend 910 AI accelerator, revealing a supply chain vulnerability where TSMC lacked visibility into the components' end-use.

Upon discovery of the diversion, TSMC immediately halted Sophgo shipments and engaged in discussions with Commerce Department officials. By January, Sophgo had been added to the Entity List, limiting its access to US semiconductor technology. A Center for Strategic and International Studies report revealed that Huawei obtained approximately two million Ascend 910B logic dies through shell companies that misled TSMC. Huawei's preference for TSMC-made dies was due to manufacturing challenges in domestic chip production. This incident has forced TSMC to strengthen its customer vetting protocols, including terminating its relationship with Singapore-based PowerAIR following internal compliance reviews. The enforcement process typically begins with a proposed charging letter detailing violations and penalty calculations, followed by a 30-day response period. As Washington tightens restrictions on AI processor exports to Chinese entities, semiconductor manufacturers are under increased pressure to implement rigorous controls throughout multinational supply chains.

According to Gamespot, Nintendo has cancelled pre-orders of the Switch 2 in the US due to the recently announced tariffs by the US government. The company has issued a statement to the publication that reads "Pre-orders for Nintendo Switch 2 in the U.S. will not start April 9, 2025 in order to assess the potential impact of tariffs and evolving market conditions. Nintendo will update timing at a later date. The launch date of June 5, 2025 is unchanged." This suggests that the Switch 2 will still reach US shores, but the question is if the pricing will remain as announced.

Besides affecting end customers, this is likely to affect all of Nintendo's US retail partners, since retail chains such as Best Buy, Target and Walmart have been preparing to start accepting pre-orders for the new handheld console on the 9th of April. Nintendo's statement doesn't really give away any details, but it suggests that the company is re-evaluating its MSRP, as Japan was hit with a 24 percent tariff by the US. If the tariff was to be handed straight over to the end consumers, this could mean the Switch 2 will retail for closer to US$560 than the promised US$450, which would make it prohibitively expensive for many potential buyers. Hopefully Nintendo will figure out what it'll do quickly and keep its fanbase update with what it'll do in plenty of time ahead of the launch in June.

While semiconductors are exempt (for now at least) from Trump's tariffs, other components going into our PCs are not. According to Tom's Hardware, which spoke to multiple system integrators, tariffs are about to hike PC costs by at least 20%, with system integrators hurt the most. The tariff package imposes a 54% rate on Chinese goods, 34% on top of earlier tariffs, and significant duties on Taiwan, South Korea, and Vietnam products. These countries supply essential PC components such as SSDs, RAM, cases, and graphics cards. Wallace Santos, CEO of Maingear, highlighted the immediate effects on production: "Tariffs have a direct impact on our cost structure… which we have to pass down to our customers." He further explained that some suppliers have halted production in China, leading to scarcity and escalating costs. Santos estimates that prices for his PCs will rise "20 to 25% as a result of the tariffs."

Other company leaders express concern over the limited alternatives available. Kelt Reeves, CEO of Falcon Northwest, stated, "Sadly the overwhelming majority of PC component manufacturing is not done in the US and never has been. There's no US alternative supplier for most PC parts." Reeves added that even US-based system integrators are "facing skyrocketing costs" due to the tariffs, which are set to worsen an already challenging market situation caused by ongoing GPU shortages. Jon Bach, CEO of Puget Systems, shared his perspective in a recent blog post, noting that his company might absorb some costs to minimize consumer price increases. However, even before the latest tariff updates, Bach predicted a price rise of "20 to 45 percent by June." Critics of the tariffs warn of broader economic issues. Gary Shapiro, CEO of the Consumer Technology Association, condemned the policy as "massive tax hikes on Americans that will drive inflation, kill jobs on Main Street, and may cause a recession for the US economy." With these tariffs taking effect, the PC industry faces a period of adjustment marked by increased costs and significant supply chain challenges.

It seems as though the high pricing and shortages surrounding NVIDIA's latest GeForce RTX 5000 series GPUs has resulted in gamers turning to previous GPU generations for salvation. According to the latest Newegg GPU bestseller charts, the $459.98 MSI Ventus NVIDIA GeForce RTX 4060 8 GB graphics card is currently the best-selling GPU. Curiously, the Gigabyte AMD Radeon RX 7800 XT OC 16 GB is close on its heels, with the Gigabyte AMD Radeon RX 9070 XT on its heels in third place. The first NVIDIA GeForce RTX 5000 series GPU on the Newegg bestseller list is the ASUS TUF Gaming RTX 5070 OC, which is in eighth place, behind several AMD Radeon RX 7900 XT, RX 9070 XT, and RX 6600 models. It's unclear whether this is due to high pricing or simply a lack of stock to sell, although the RTX 5070 OC is currently available on Newegg for $739.99. Curiously, this is also the only in-stock RTX 5000 series card amongst the top 20 best-selling GPUs on Newegg. Granted, this is only one vendor, but the majority of the GPUs on the list are either AMD Radeon RX 7000 series or NVIDIA GeForce RTX 4000 series GPUs.

The most recent Steam Hardware & Software Survey, updated for March 2025, however, tells a more confusing story. While adoption rates for NVIDIA GeForce RTX 5000 series GPUs is certainly slow, with the RTX 5080 being the only 5000 series GPU to even feature on the chart, with 0.19% growth over the last month, gamers seem to be moving away from the RTX 4000 series even faster. The GPU that showed the most growth during the last Steam Survey is the NVIDIA GeForce GTX 1650, which is already six years old. It's also interesting to note that most of the AMD GPUs in the Steam Survey results also saw minor upticks in adoption. Recent reports out of Japan show that AMD has garnered massive interest since the launch of the RX 9070 series GPUs, with claims of 45% market share coming as a surprise after NVIDIA reached 90% GPU market share in December last year. While NVIDIA's supply issues are likely at least partially to blame for AMD's increased popularity, there is also a growing sentiment amongst gamers, backed by some of our own testing, that NVIDIA is more interested in AI and simply isn't equipping its gaming graphics cards with enough VRAM for high-resolution and high-refresh rate gaming.

Yesterday, United States President Donald Trump announced a set of tariffs imposed on US trading partners, imposing a series of 10%+ tariffs on partners, calling it a "Liberation Day." Today, we are calculating how much these tariffs will impact consumers and what is most important at TechPowerUp: semiconductors powering our GPUs and CPUs. According to one of the top investment banks, Goldman Sachs, semiconductors are exempt from the reciprocal tariffs that Trump has imposed on Taiwan. However, the semiconductor manufacturing equipment used by makers like TSMC is not exempt and is expected to be hit with the 32% tariffs. This is only half of what Taiwan imposes on imports of US-made goods. For TSMC, the number one maker of GPUs and CPUs, tariffs can be tricky to navigate. While its existing manufacturing facilities use equipment sourced from Dutch ASML and a few US companies like Lam Research and KLA Corporation, it shouldn't be a problem to ship new silicon to the US.

However, if TSMC wants to expand its manufacturing facilities in any country that is not the US, it will have to deal with 32% tariffs on US-sourced silicon manufacturing equipment. For EU-based ASML, things are looking a little different. If over 20% of the equipment is made up of US content, a tariff exemption might apply, potentially reducing import costs. If more than one-fifth of a product's components or value originates from US sources, the equipment may be eligible for tariff relief. ASML's machines include some US components, so determining whether these machines meet the 20% threshold is crucial. If they do, the tariff exemption could help lower costs associated with importing these advanced machines, reaching up to $380 million. For non-US-injected goods, EU entities are subject to 20% tariffs.

All Together, Anytime, Anywhere. With new ways to play and new ways to connect players, the Nintendo Switch 2 system arrives June 5 for a suggested retail price of $449.99 in the United States. Discover reimagined Joy-Con 2 controllers, each of which can now be used as a mouse in compatible games and that snap to the system with magnetic connectors. Experience the system's powerful processing speeds delivering visuals via a bigger screen showcasing vibrant color and clarity. From Nintendo Switch 2 games to compatible games in existing Nintendo Switch libraries - connect and play with friends and family in surprising new ways!

"Nintendo Switch 2 is the next step in at-home gaming that can be taken on the go based on eight years of play and discovery that began with Nintendo Switch," said Nintendo President Shuntaro Furukawa. "With its new features that expand the possibilities of gaming experiences, I truly believe that Nintendo Switch 2 is a leap forward in our journey of putting smiles on the faces of everyone that Nintendo touches."