Chip-making technology provider Lam Research Corp has warned of a $2 billion to $2.5 billion revenue hit in 2023 from U.S. curbs on exports of high-end technology shipments to China, Reuters news report said.

The Joe Biden administration’s regulations announced earlier this month indicate that U.S. companies must stop supplying Chinese chipmakers with equipment that can produce relatively advanced chips unless they first obtain a license.

“We have taken the necessary steps to ensure full compliance with the rules and have ceased shipments and support as required,” Lam Research Chief Executive Officer Timothy Archer said on an analyst call.

Lam Research, which generates 30 percent of its business from China, is the latest company to flag a hit from the sales restrictions. Lam Research generates 22 percent of the revenue from Taiwan, 17 percent from Korea, 11 percent from South East Asia, 9 percent from Japan, 6 percent from Europe and 5 percent from the United States.

Applied Materials Inc last week estimated a $250 million to $550 million drop in net sales in the quarter ending Oct. 30, with a similar impact expected in the following three months.

Lam Research also reported strong first-quarter earnings and gave an upbeat revenue forecast for the current period.

The company expects second-quarter revenue between $4.80 billion and $5.40 billion. The December-quarter forecast factors in the impact of export curbs, Archer said.

Lam Research reported revenue of $5,074 million, gross margin of $2,337 million, or 46.1 percent of revenue, operating expenses of $639 million, operating income of 33.5 percent of revenue, and net income of $1,426 million for the September 2022 quarter.

“Lam exceeded $5 billion in revenue in the September quarter, an all-time record. Solid execution combined with easing supply chain conditions produced strong overall performance,” Tim Archer said. “While we expect weaker wafer fabrication equipment spending in 2023, our technology leadership and demonstrated track record of managing through downturns provide us a strong foundation to capture the exciting opportunities ahead for the semiconductor industry.”