AI Daily: China bans foreign AI chips from data centers using state funds

Catch up on the top artificial intelligence news and commentary by Wall Street analysts on publicly traded companies in the space with this daily recap compiled by The Fly:

AI CHIPS: The Chinese government is now requiring new data center projects that receive any state funds to only use domestically made AI chips, Reuters reports, citing two sources familiar with the matter. Chinese authorities have ordered these new data centers that are less than 30% complete to remove all installed foreign chips and cancel any plans to purchase them, the sources added. Publicly traded companies in the space include AMD (AMD), Intel (INTC), Marvell (MRVL), Microchip (MCHP), Micron (MU), Nvidia (NVDA), Qualcomm (QCOM) and Texas Instruments (TXN).

REQUEST FOR REMOVAL: Amazon (AMZN) issued an statement about Perplexity, saying that, “We think it’s fairly straightforward that third-party applications that offer to make purchases on behalf of customers from other businesses should operate openly and respect service provider decisions whether or not to participate. This helps ensure a positive customer experience and it is how others operate, including food delivery apps and the restaurants they take orders for, delivery service apps and the stores they shop from, and online travel agencies and the airlines they book tickets with for customers. Agentic third-party applications such as Perplexity’s Comet have the same obligations, and we’ve repeatedly requested that Perplexity remove Amazon from the Comet experience, particularly in light of the significantly degraded shopping and customer service experience it provides.”

AMD RESULTS: AMD reported Q3 EPS of $1.20 and Q3 revenue of $9.25B, which was better than the expected $1.17 and $8.75B, respectively. “We delivered an outstanding quarter, with record revenue and profitability reflecting broad based demand for our high-performance EPYC and Ryzen processors and Instinct AI accelerators,” said Dr. Lisa Su, AMD chair and CEO. “Our record third quarter performance and strong fourth quarter guidance marks a clear step up in our growth trajectory as our expanding compute franchise and rapidly scaling data center AI business drive significant revenue and earnings growth.”

AMD also said it sees Q4 revenue of $9.6B, plus or minus $300M, with consensus at $9.2B , and Q4 gross margin 54.5%. The company said its current outlook does not include any revenue from AMD Instinct MI308 shipments to China. “We delivered record quarterly revenue of $9.2 billion, up 36% year-over-year, and generated record free cash flow, reflecting the strength of our leadership portfolio and disciplined execution,” said Jean Hu, AMD executive vice president, chief financial officer and treasurer. “Our continued investments in AI and high-performance computing are driving significant growth and position AMD to deliver long-term value creation.”

U.S. EXPANSION: Rezolve Ai (RZLV) announced a major acceleration of its commercial rollout across the United States and Europe, following its oversubscribed $200M financing. To lead the company’s U.S. expansion, Rezolve has appointed Elizabeth Lachhar, a former Microsoft (MSFT) executive who previously managed a multi-billion-dollar sales P&L, as Senior Vice President, SVP, U.S. Sales. By the end of Q2 2026, Rezolve expects to have approximately 40 sales professionals in the United States and an additional 20-30 across Europe, establishing one of the largest global salesforces dedicated to Agentic Commerce. “This is about execution at scale,” said Daniel Wagner, Founder, Chairman and CEO of Rezolve Ai. “Agentic Commerce is no longer a concept; it’s happening now. With Elizabeth’s leadership and deep enterprise experience, we believe we are assembling the building blocks that will enable us to turn years of innovation into market dominance. Rezolve has the capital, technology, and team to lead the trillion-dollar transformation of how people and brands transact.”