Nvidia CEO reacts to recent AI chip ban and competition with Huawei

Nvidia is the largest affected company from the recent US AI chip ban on China and the company’s CEO, Jensen Huang has reacted to the latest curbs and the competition with Huawei.

Jensen said in a media interview that he is learning about the new regulations and discussing them with the team. Huang said that this action will have an impact on its mainland market.

However, he also agreed to the measures put forth by the US Commerce Department. Also, the regulations decided to ban the export of advanced AI chips to Chinese customers this past Tuesday.

According to the reports, Nvidia’s A100, A800, H100, H800, L40, L40S, and RTX 4090 chips are now under US restrictions. Some of these chips are designed specifically for Chinese customers.

Jensen hopes for a larger market “as much as possible” also that the company will work more to resolve the current market needs and continue work inside China to support customers.

The CEO of Nvidia also said that there are some good local technology firms including Huawei and Nvidia could also work to compete in the industry and prosper.

Huawei’s AI Products:

iFlytek, a Chinese tech company, said that Huawei’s Ascend AI chips are comparable to Nvidia in terms of raw computing power. Industry analyst believes that the latest US curbs could become a golden opportunity for Huawei to make new customers in the AI industry and gain more momentum for its chip business.

Jiang Yifan, chief market analyst at brokerage Guotai Junan Securities said that most of the Chinese tech companies are heavily dependent on Nvidia for the AI and graphics chipset. However, the new US restrictions would change their view on this scenario and push them toward Huawei to continue their operations.

Although, Huawei has only a few years of experience in AI and LLM but the company is making rapid progress in this field and changing the perspective of its AI product offerings for enterprise customers.

(source)