Nvidia is set to resume sales of its H20 chips in China after a period of export restrictions, but analysts forecast the company will lose considerable market share to domestic competitors. Despite permissions to sell a China-compliant version of its AI chips, Bernstein predicts Nvidia’s share of the Chinese AI chip market will drop to 54% in 2025 from 66% a year earlier. The erosion is driven not only by regulatory hurdles, but also by the rise of Chinese chipmakers such as Huawei and Cambricon, who are rapidly gaining ground in a market reshaped by U.S. export controls. While some analysts remain optimistic about Nvidia’s prospects should restrictions ease, Chinese officials are signaling continued scrutiny and calls for homegrown AI infrastructure. As U.S.-China technology and trade tensions persist, Nvidia and other American chipmakers face an increasingly complex path to regaining their former dominance in the world’s largest chip market.
Nvidia to Resume Some China Sales, but Faces Shrinking AI Chip Market Share Amid Local Competition
- Trending
- Comments
- Latest
