The release later this year is the latest maneuver between China and the U.S. as they try to control the flow of powerful AI chips.

Nvidia Corp.’s shares were tumbling in after-hours trading Tuesday, after the chip giant disclosed in a regulatory filing that it expects to include charges of up to $5.5 billion in its fiscal first quarter related to licensing of its chips to the Chinese market.

In the wake of China's search for domestic alternatives to Nvidia's (NASDAQ: NVDA) H20 chip, Huawei Technologies is reportedly preparing to start mass shipments of its advanced 910C artificial intelligence chip to Chinese customers as early as next month.