Huawei Rivals Nvidia In AI Chip Market Amid US Sales Curbs In China

Huawei, a technology giant in China, is gearing up to tighten its grip on the Artificial Intelligence (AI) chip market. This move comes at a time when several big tech giants are exploring opportunities in the AI segment.

Meanwhile, Huawei’s focus on the AI chip market is viewed as a challenge to Nvidia by many market watchers, especially due to the recently announced curb on the sales of advanced artificial chips by Nvidia to China. With the US Government’s curb, Huawei started to build market trust and win in the AI Chip Market, by bagging an order from Chinese tech giant Baidu.

Huawei Venturing into AI Chip Business

Notably, Huawei unveiled its first AI chip, Ascend 910 four years ago, in 2018. Although it was unveiled in 2018, the official launch was made in 2019, as part of a strategy to build a full-stack AI portfolio. 

Huawei aimed to venture into the AI Chip Market and become the largest provider of computing power, especially in China. However, with Nvidia’s A100 and H100 chips in 2020 and 2022 respectively, the majority of the AI chip share bent to Nvidia, leaving limited business for Huawei.

However, now with the US Government’s curb on the sale of Nvidia chips to China, has given a chance for a strong comeback for Huawei to establish themselves. About this, Huawei is expected to launch Ascend 910B, a newer version of the 910 AI chip. However, an official announcement is yet to be made.

Speaking of this new yet-to-be-announced A 910B, experts and reports suggested that this new AI chip is low in terms of Nvidia’s chip. However, after the curb of sales by Nvidia, its rival Huawei is the only sophisticated domestic option available in China.

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Is Huawei’s Entry Into the AI Chip Market A Win For China?

After the U.S. curb on Nvidia AI chip sales to China, the robust market of $7 billion will be a playground for Huawei, aiming for a significant entry in China’s AI Chip Market. Moreover, the stronghold of Huawei with its revamped A 910B chip, will not only be a strong counter for Nvidia, which ruled the AI Chip market, but also a win for China, against the rival U.S.

In addition, experts believe that with the Chinese Government’s support and investment in AI and semiconductors, it is not difficult for Huawei to cover the gap and better the AI chip quality, like Nvidia.

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