US export restrictions on Nvidia have created a growing market in China for Huawei’s new AI chips, specifically the Ascend 910B. Chinese AI companies are turning to Huawei’s chip as a viable alternative to Nvidia’s high-end chips. The export controls, intended to slow Chinese AI innovation, may have inadvertently accelerated China’s path to self-reliance. As the AI race continues, China is becoming increasingly tech-independent, while the US’s AI supremacy is exposed to geopolitical shifts.
Huawei Takes on Nvidia with Its Own AI Chips
The export restrictions imposed by the US government on Nvidia have created a growing market in China for Huawei’s new AI chips. Huawei developed the Ascend 910B chip as a direct alternative to Nvidia’s popular A100 GPU, with the aim of establishing a full-stack AI portfolio.
The upgraded Ascend 910B chip, although not officially launched, is believed to have comparable computing power to Nvidia’s A100, although its overall performance still lags behind. As Chinese AI companies can no longer purchase Nvidia’s high-end chips, the Ascend 910B is seen as a viable alternative.
Companies like Baidu, Alibaba, and Tencent, which have AI aspirations, will also need to consider alternatives as their current Nvidia systems reach capacity. Huawei’s Ascend 910B is currently the best alternative available.
Why were the US export restrictions imposed?
The US government increased export controls on Nvidia’s AI chips partly due to concerns that they could be used in Chinese AI-powered defense technology. The intention was to slow down Chinese AI innovation. However, the unintended consequence of this policy is that it may have accelerated China’s path to self-reliance.
Huawei has been specifically targeted by US trade restrictions and has had to diversify its supplier base away from US companies. It has focused on developing its own capabilities to fill the gaps. Huawei has also started using China’s largest chip foundry, Semiconductor Manufacturing International Corporation (SMIC), to manufacture its chips.
As the AI race continues, China is becoming increasingly tech-independent and less affected by US attempts to slow it down. The US, heavily dependent on manufacturing capabilities in Taiwan, is now more exposed to geopolitical shifts in the region.
Evolve Your Company with AI
If you want to stay competitive and evolve your company with AI, consider the advantages of Huawei’s AI chips. Discover how AI can redefine your way of work by following these practical steps:
- Identify Automation Opportunities: Locate key customer interaction points that can benefit from AI.
- Define KPIs: Ensure your AI endeavors have measurable impacts on business outcomes.
- Select an AI Solution: Choose tools that align with your needs and provide customization.
- Implement Gradually: Start with a pilot, gather data, and expand AI usage judiciously.
For AI KPI management advice, connect with us at hello@itinai.com. Stay tuned for continuous insights into leveraging AI on our Telegram channel t.me/itinainews or Twitter @itinaicom.
Spotlight on a Practical AI Solution: AI Sales Bot
Consider using the AI Sales Bot from itinai.com/aisalesbot to automate customer engagement 24/7 and manage interactions across all customer journey stages. Discover how AI can redefine your sales processes and customer engagement. Explore solutions at itinai.com.
