Nvidia plans to launch lower-priced Blackwell-based AI chips exclusively for China to address U.S. export controls and maintain the market. The move underscores the geopolitical challenge to tech giants and the intensification of local chip competition in China. (Synopsis: Huida Taiwan opens nearly 100 job vacancies, NVIDIA headquarters Huang Jenxun sells off: "Too early to break the terrier there is no surprise") (Background supplement: Huang Jenxun surprises Trump in the same frame! Huida received a "large order for AI chips in Saudi Arabia" and its stock price jumped, but US politicians worried that China may indirectly benefit ) Artificial intelligence chip manufacturing Nvidia once again adjusted its Chinese market strategy in response to tightening export controls in the United States. According to the latest Reuters report, Nvidia is planning to start mass production of a new AI chip designed for the Chinese market in June this year, based on the latest Blackwell architecture and more competitively priced, and this move can also be interpreted as Huida is still committed to meeting Chinese demand even in the face of high uncertainty such as US regulations. U.S. export control escalation In order to limit China's development in the field of advanced artificial intelligence (AI) and supercomputing, the U.S. government has continued to tighten export controls on AI chips to China since 2022. These bans have directly impacted Nvidia's business in China, especially for chip models such as the H20 designed for the Chinese market. The Chinese market is critical to Nvidia, contributing 13% of its total sales in the last fiscal year, and according to industry analysis, due to U.S. export restrictions, Nvidia's share of the Chinese data center AI chip market has dropped significantly from more than 95% before 2022 to about 50% today. This dilemma forced Nvidia to actively adjust its marketing strategy to cope with the changes. Extended reading: Trump backstabbed Jensen Huang! Nvidia H20 "first talk good is useless" was banned by the United States to lose 5.5 billion magnesium, how to enlighten TSMC at the end of the bright card negotiations? Nvidia's New Strategy: Blackwell Architecture Downspec Chips Market To address this situation and work to maintain its business in the Chinese market, Nvidia plans to launch a special version of the AI chip based on its latest Blackwell architecture, but with specifications adjusted to meet U.S. export specifications. According to reports, the price of the new chip is expected to be between $6,500 and $8,000, which is more accessible than the previously restricted H20 model, which has a market price of about $10,000 to $12,000. The chip's specifications will be specifically designed for current U.S. export restrictions, such as a bandwidth limit of 1.7 megabytes per second, and is expected to use standard GDDR7 memory instead of HBM's high-bandwidth memory and TSMC's advanced process technology commonly found in Nvidia's top-of-the-line products. This is Nvidia's third attempt to launch a special product for the Chinese market after chips such as the H20. An Nvidia spokesperson has previously said Nvidia's difficulty in effectively entering China's $7 billion data center market until details of new product designs are finalized and export licenses are obtained from the U.S. government, highlighting the challenges it faces in the Chinese market. The rise of China's local AI chips intensifies market competition It is worth noting that the export restrictions of the United States have objectively accelerated the development of China's local AI chip industry. Chinese technology companies, represented by Huawei, in Shenzhen, are actively testing and preparing to expand the market supply of AI chips such as their Ascend 910D, becoming a strong competitor for Nvidia in the Chinese market. Nvidia CEO Jensen Huang also admitted in recent public comments: "U.S. chip export restrictions have accelerated the development of China's local competitors." The remarks reflect how restrictive U.S. policies are reshaping the competitive landscape. Although there may still be a gap between China's local high-end AI chips and Nvidia's top products in terms of single performance, Chinese companies are committed to making up for this deficiency through system-level optimization and software and hardware integration, and gradually increasing market share with local advantages. Geopolitical trade-offs and global supply chain reshaping Nvidia is about to release its latest quarterly financial report on May 28, US time, and market analysts generally expect its overall revenue and net profit to continue to grow. However, sales challenges in the Chinese market have weighed on its financial performance, such as the previous response to the fact that H20 chips were not selling as well as expected in China, which has had a significant impact on its revenue. Nvidia's plan to launch a lower-priced Chinese special version of the chip can be seen as a pragmatic strategic adjustment to maintain long-term relationships with Chinese customers and gain market share under the premise of compliance under the severe geopolitical environment and regulatory constraints. Related reports Huida Taiwan opens nearly 100 job vacancies, NVIDIA headquarters Huang Jenxun sells off: "Too early to break the terrier there is no surprise" Huang Jenxun wants to buy bitcoin? How credible is Nvidia's consideration of "buying BTC" as an AI strategy? Jen-Hsun Huang shouts "no cryptocurrency"! Nvidia suddenly shouted to stop Arbitrum cooperation, why did her attitude take a big turn? "Huang Jenxun does not give up the Chinese market, and then pushes Blackwell's new chip to break through US control" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".
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Huang Jenxun does not give up the Chinese market, and then pushes Blackwell's new chip to break through US control
Nvidia plans to launch lower-priced Blackwell-based AI chips exclusively for China to address U.S. export controls and maintain the market. The move underscores the geopolitical challenge to tech giants and the intensification of local chip competition in China. (Synopsis: Huida Taiwan opens nearly 100 job vacancies, NVIDIA headquarters Huang Jenxun sells off: "Too early to break the terrier there is no surprise") (Background supplement: Huang Jenxun surprises Trump in the same frame! Huida received a "large order for AI chips in Saudi Arabia" and its stock price jumped, but US politicians worried that China may indirectly benefit ) Artificial intelligence chip manufacturing Nvidia once again adjusted its Chinese market strategy in response to tightening export controls in the United States. According to the latest Reuters report, Nvidia is planning to start mass production of a new AI chip designed for the Chinese market in June this year, based on the latest Blackwell architecture and more competitively priced, and this move can also be interpreted as Huida is still committed to meeting Chinese demand even in the face of high uncertainty such as US regulations. U.S. export control escalation In order to limit China's development in the field of advanced artificial intelligence (AI) and supercomputing, the U.S. government has continued to tighten export controls on AI chips to China since 2022. These bans have directly impacted Nvidia's business in China, especially for chip models such as the H20 designed for the Chinese market. The Chinese market is critical to Nvidia, contributing 13% of its total sales in the last fiscal year, and according to industry analysis, due to U.S. export restrictions, Nvidia's share of the Chinese data center AI chip market has dropped significantly from more than 95% before 2022 to about 50% today. This dilemma forced Nvidia to actively adjust its marketing strategy to cope with the changes. Extended reading: Trump backstabbed Jensen Huang! Nvidia H20 "first talk good is useless" was banned by the United States to lose 5.5 billion magnesium, how to enlighten TSMC at the end of the bright card negotiations? Nvidia's New Strategy: Blackwell Architecture Downspec Chips Market To address this situation and work to maintain its business in the Chinese market, Nvidia plans to launch a special version of the AI chip based on its latest Blackwell architecture, but with specifications adjusted to meet U.S. export specifications. According to reports, the price of the new chip is expected to be between $6,500 and $8,000, which is more accessible than the previously restricted H20 model, which has a market price of about $10,000 to $12,000. The chip's specifications will be specifically designed for current U.S. export restrictions, such as a bandwidth limit of 1.7 megabytes per second, and is expected to use standard GDDR7 memory instead of HBM's high-bandwidth memory and TSMC's advanced process technology commonly found in Nvidia's top-of-the-line products. This is Nvidia's third attempt to launch a special product for the Chinese market after chips such as the H20. An Nvidia spokesperson has previously said Nvidia's difficulty in effectively entering China's $7 billion data center market until details of new product designs are finalized and export licenses are obtained from the U.S. government, highlighting the challenges it faces in the Chinese market. The rise of China's local AI chips intensifies market competition It is worth noting that the export restrictions of the United States have objectively accelerated the development of China's local AI chip industry. Chinese technology companies, represented by Huawei, in Shenzhen, are actively testing and preparing to expand the market supply of AI chips such as their Ascend 910D, becoming a strong competitor for Nvidia in the Chinese market. Nvidia CEO Jensen Huang also admitted in recent public comments: "U.S. chip export restrictions have accelerated the development of China's local competitors." The remarks reflect how restrictive U.S. policies are reshaping the competitive landscape. Although there may still be a gap between China's local high-end AI chips and Nvidia's top products in terms of single performance, Chinese companies are committed to making up for this deficiency through system-level optimization and software and hardware integration, and gradually increasing market share with local advantages. Geopolitical trade-offs and global supply chain reshaping Nvidia is about to release its latest quarterly financial report on May 28, US time, and market analysts generally expect its overall revenue and net profit to continue to grow. However, sales challenges in the Chinese market have weighed on its financial performance, such as the previous response to the fact that H20 chips were not selling as well as expected in China, which has had a significant impact on its revenue. Nvidia's plan to launch a lower-priced Chinese special version of the chip can be seen as a pragmatic strategic adjustment to maintain long-term relationships with Chinese customers and gain market share under the premise of compliance under the severe geopolitical environment and regulatory constraints. Related reports Huida Taiwan opens nearly 100 job vacancies, NVIDIA headquarters Huang Jenxun sells off: "Too early to break the terrier there is no surprise" Huang Jenxun wants to buy bitcoin? How credible is Nvidia's consideration of "buying BTC" as an AI strategy? Jen-Hsun Huang shouts "no cryptocurrency"! Nvidia suddenly shouted to stop Arbitrum cooperation, why did her attitude take a big turn? "Huang Jenxun does not give up the Chinese market, and then pushes Blackwell's new chip to break through US control" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".