Anonymous sources claim that Nvidia, owned by Jensen Huang, is launching and distributing a new chip in China, tentatively named “B20,” in cooperation with a major distribution partner, Inspur. The chip is a member of Nvidia’s “Blackwell” series, which was introduced in March and is scheduled for mass production later this year, according to Reuters on Monday. A chip in the B200 series is said to be 30 times faster than its predecessor in some tasks.
This comes as Washington decided to impose tougher regulations on Chinese semiconductor imports in 2023. Three chips have been developed by Nvidia specifically for the Chinese market. The new processor could help Nvidia better compete with Tencent-backed startup Enflame and Chinese tech giant Huawei.
Because of U.S. sanctions, China accounted for about 17% of Nvidia’s revenue in the year ended January, down from 26% two years earlier. Despite a rough start, Nvidia’s most sophisticated chip for China, the H20, is expected to sell more than one million units this year, generating more than $12 billion in revenue, according to research organization SemiAnalysis.
It is generally expected that the United States will continue to push for changes in export regulations related to semiconductors, starting with plans to impose restrictions on the most advanced AI models.
The development comes after another report claimed that Google and Microsoft were giving Chinese enterprises access to Nvidia AI chips through data centers located outside of China, in violation of US sanctions. It was seen as a solution to sanctions imposed by the Biden administration to prevent Chinese companies from using advanced semiconductors and other US technology for artificial intelligence.
Despite US export restrictions, Nvidia was on target to sell $12 billion worth of AI processors in China by July this year.
The Chinese government urged its IT to buy more domestic AI processors and reduce reliance on overseas-made chips, particularly from Nvidia, in May.
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Ada Spark is a tech explorer and creative content creator with 6+ years of experience. Appreciate teamwork and creative strategies to promote content. Always looking to work according to the latest trends and create content that makes a difference. Also familiar with infographics and other forms of content.