NVIDIA's AI Chip Sales to China May Start Again Soon
NVIDIA thinks it will soon get the go-ahead to sell its H20 AI GPU in China again. The research firm TrendForce says there's a lot of demand waiting. This may change NVIDIA's plans for its gaming GPUs there and turn the focus to new Blackwell-based tech.
H20 Demand and AI in China
TrendForce tells us China can't keep up with NVIDIA’s AI chip tech, mainly because US limits keep them from using top chip tech from firms like TSMC. With the likely return of H20 chip sales, TrendForce thinks there’ll be a big jump in AI setup needs in China.
Memory tech will drive demand too. The H20 chips will move to better HBM3e memory by 2025, making them even more in demand. Despite this, China's AI chip buys from abroad might go up to 49%.
But, TrendForce warns that China’s AI market could get hit by big world changes. They guess China will try harder to make its own chips with help from its government.
Gaming GPU Plans in Doubt
The possible end to the H20 AI ban has made people wonder about NVIDIA’s gaming GPU, the RTX 5090D, made just for China. NVIDIA had been selling the RTX 5090D there, but there was talk of a new, weaker "V2" model because of tight rules.
Now, if rules get softer, NVIDIA might drop the V2 plan. They might keep selling the strong RTX 5090D they already have. But nothing is sure yet, leaving partners and the supply chain unsure.
Looking Ahead Moving to Blackwell Chips
NVIDIA's plan for China seems to be more than just selling old H20 stock. Sources say NVIDIA might stop taking new H20 orders and aim to bring in a new Blackwell-based chip by the year's end.
The H20 uses the older Hopper tech, but places with no bans can use the new Blackwell stuff. A new Blackwell-based chip, maybe called B20, would help China stay up-to-date with world AI tech.
Reports say NVIDIA has a lot of H20 stock, enough to meet China's AI needs for a while. This lets them sell off old stock while getting ready to launch new products like the B20, B30, and RTX 6000D for different markets in China, if they get the okay.