Advanced Micro Devices hit a U.S. government roadblock in its efforts to sell an artificial intelligence chip tailored for the Chinese market, as part of Washington's crackdown on the export of advanced technologies to the country.

AMD tried to gain a go-ahead from the U.S. Commerce Department to sell the AI processor to China. The chip has lower performance than what AMD sells outside of China, and was designed to meet U.S. export restrictions, the report added, citing people familiar with the matter.

U.S. officials said the processor is still too powerful and that the company must obtain a license from Commerce's Bureau of Industry and Security to sell it in China, according to the report.

AMD and the Commerce Department did not immediately respond for comment.

In October, the U.S. planned to halt shipments to China of more advanced artificial intelligence chips designed by Nvidia and others, as part of a raft of measures to stop Beijing from receiving cutting-edge U.S. technologies to strengthen its military.

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