The chip designer halts production of the H20 AI chip that it developed for China, after Beijing told companies there not to buy it.

Nvidia has told some component suppliers to suspend production of its H20 AI chip, designed specifically for the Chinese market, the Information reported on Thursday, citing two people with direct knowledge of the communications.

NVIDIA CEO Jensen Huang has dismissed security concerns over the company’s H20 chips, saying they pose no national risk to China and that continued sales would benefit both sides. His remarks follow reports that NVIDIA has slowed development of the H20 after Beijing urged domestic firms to avoid the chip.