Huawei’s Rise in Chip Industry as Nvidia Encounters U.S. Ban

Huawei's Rise in Chip Industry as Nvidia Encounters U.S. Ban

Huawei rise in chip ndustry: a name that has been making headlines for a while now, has recently achieved something quite remarkable. Despite facing a ban in the United States, Huawei has not only kept up with its chip manufacturing but has also made significant strides in the artificial intelligence (AI) sector.

Huawei’s Smart Move into AI Chips

In a report from Reuters on November 7, we learned that Huawei has received a hefty order for AI chips from Baidu, China’s tech titan. The chips in question are part of Huawei’s Ascend AI series, with the star player being the 910B chip. This chip is set to compete with Nvidia’s A100 and H100 chips, which are big names in the industry.

The Ascend 910B: A Closer Look

Huawei first jumped into the chip race with its Ascend 910 chip in 2019, boasting a 7 nm engraving fineness. The newer 910B chip, while not officially confirmed, has been buzzing in the Chinese media. This August, Huawei hinted at this new chip through materials posted on its website. Baidu seems to have great faith in Huawei’s innovation, having ordered a whopping 1600 chips for 200 servers.

The AI Battlefield Intensifies

The timing of Baidu’s order is quite interesting as it came right before the U.S. decided to tighten chip export restrictions to China, affecting companies like Nvidia. Although analysts suggest that Huawei’s 910B chips might not outperform Nvidia’s in efficiency, they are still a top-notch domestic option in China.

Huawei’s Technological Prowess

Huawei turned heads this August with the launch of its Mate 60 smartphone series, which showcases the company’s advances in processor technology, despite the U.S. sanctions. This move has solidified Huawei’s position in the chip design domain.

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The Big Picture for China’s AI Chip Market

China’s market for AI-dedicated chips is booming, estimated at around $7 billion. Huawei’s CFO, Meng Wanzhou, has ambitious plans to create a computing base in China, providing the world with a “second option” in AI, challenging Nvidia’s supremacy.

Nvidia isn’t resting on its laurels either. The company has teamed up with Foxconn, aiming to create “artificial intelligence factories.” However, with the U.S. ban, Chinese firms might have to turn to local alternatives, like Huawei, which could level up sooner than anticipated.

In conclusion, the race in AI and chip technology is heating up, with China, led by Huawei, investing heavily in these critical areas. This move could reshape the tech landscape, offering new growth avenues and innovations.

SOURCE : Reuters