tech
Nvidia says it has ‘largely conceded’ China’s AI chip market to Huawei
Nvidia CEO Jensen Huang said the company has "largely conceded" China's advanced artificial intelligence chip market to Huawei.
TL;DR
- Nvidia CEO Jensen Huang announced the company has largely conceded China's AI chip market to Huawei.
- This concession is attributed to U.S. export restrictions impacting the global AI semiconductor landscape.
- Nvidia reported a substantial revenue surge of 85% to $81.62 billion and unveiled an $80 billion share buyback program.
- Huawei is described as very strong, with its local ecosystem of chip companies performing well.
- The Chinese market previously accounted for at least one-fifth of Nvidia's data center revenue.
- Washington's restrictions, initiated under the Trump administration, require licenses for exporting advanced AI chips to China.
- Huang advised investors to expect nothing regarding approvals for advanced chip sales into China.
- Nvidia is aggressively expanding its supply chain to support growth in the broader AI economy.
- The company is investing heavily across the five layers of the AI industry: energy, chips, infrastructure, models, and applications.