Post by Augustine Chiagozie (@pabloexchange)

๐Ÿ‡จ๐Ÿ‡ณ China is reopening the door to Nvidia, but on its own terms

China is reportedly preparing to let more leading AI companies buy a limited number of Nvidia H200 chips, expanding a controlled reopening that began earlier this year.

The strategy is clear: use Nvidia's chips for frontier AI training while accelerating adoption of domestic processors like Huawei's Ascend for inference workloads.
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After U.S. export restrictions blocked Nvidia's most advanced chips, the company launched the export-compliant H20, which generated $4.6 billion in quarterly sales before facing tighter restrictions. Nvidia later took a $4.5 billion inventory charge and warned of an $8 billion revenue hit after losing access to much of China's AI market.
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Earlier this year, ByteDance, Alibaba, and Tencent were approved to purchase more than 400,000 H200 chips, but only alongside domestic alternatives.
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The long-term trend remains unchanged. China is using every reopening to secure the AI chips it still needs while investing billions to reduce its dependence on U.S. technology.

๐Ÿ‡จ๐Ÿ‡ณ China is reopening the door to Nvidia, but on its own terms China is reportedly preparing to let...

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