Nvidia's AI chip sales in China stall, as local chipmakers like Huawei take the lead - The Independent

In the escalating race between the U.S. and China to dominate artificial intelligence, the battle over hardware and computing power is intensifying. Recent data shows that Chinese chipmakers like Huaw... Read original →

U.S. export controls on AI chips have backfired, catalyzing China’s domestic substitution rather than stifling its AI ambitions. Huawei’s Ascend 950, while still reliant on ASML EUV tools and Taiwan, China-based foundries for 3nm production, now powers end-to-end AI clusters—triggering ripple effects across EDA, advanced packaging, and local HBM development. NVIDIA faces a compliance trap: caught between BIS restrictions and irreversible customer migration to Huawei’s ecosystem. AMD lacks the software stack to fill the void quickly. Over the next 18 months, China’s AI chip market will bifurcate—NVIDIA remains essential for cutting-edge R&D, but deployment-scale workloads shift decisively to domestic alternatives. The global semiconductor value chain endures, yet a parallel, de-Americanized supply network is rapidly coalescing.