Published in AI

China spends big on Nvidia chips

by on11 August 2023

Wants them for its generative AI systems

China's internet giants have ordered more than $5 billion of high-performance Nvidia chips to build generative AI systems.

Baidu, TikTok-owner ByteDance, Tencent and Alibaba have made orders worth $1 billion to acquire about 100,000 A800 processors from the U.S. chipmaker to be delivered this year

The Chinese groups had also purchased a further $4 billion worth of graphics processing units to be delivered in 2024.

It is unclear how these orders will go as the US government has consistently been making it harder to ship tech to China.  

Nvidia offers the A800 processor in China to meet export control rules after U.S. officials asked the company to stop exporting its two top computing chips for AI-related work. Nvidia's finance chief said in June that restrictions on exports of AI chips to China "would result in a permanent loss of opportunities for the U.S. industry". However, the company expected no immediate material impact.

Rate this item
(2 votes)