China Still Keen on Nvidia

Despite government pressure, Chinese tech giants like Alibaba and ByteDance are still interested in acquiring Nvidia's AI chips. These firms are seeking reassurance that their orders for the H20 model, which Nvidia can now sell in China, will be fulfilled. They are also closely watching Nvidia's plans for the B30A chip, based on the Blackwell architecture.

Domestic alternatives from companies like Huawei and Cambricon have limited availability, making Nvidia's offerings highly desirable. Chinese companies have placed orders worth billions for Nvidia's H20 server chips. The H20 chip was specifically developed by Nvidia for the Chinese market following US export restrictions on more powerful AI processors.

Alibaba is also developing its own AI chips, manufactured by Chinese companies, to reduce reliance on foreign technology. These homegrown chips aim to handle a wider range of AI inference tasks.