Major Tech Firms in China Receive Approval for Nvidia H200 Chip Imports
In a significant shift in Beijing’s semiconductor policy, China has granted approval for its first batch of Nvidia H200 artificial intelligence chip imports. Sources familiar with the matter reveal that major Chinese tech giants such as ByteDance, Alibaba, and Tencent have been approved to collectively purchase over 400,000 H200 chips.
The approval came during Nvidia CEO Jensen Huang’s visit to China this week. This represents a major victory for the chipmaker, which has previously faced export restrictions that resulted in an estimated $8 billion in lost sales. The H200, Nvidia’s second-most powerful AI chip, delivers approximately six times the performance of the H20 chip previously allowed in China.
Beijing’s decision signals an effort to balance the soaring domestic demand for advanced AI chips against its goal of fostering indigenous semiconductor capabilities. Chinese companies have reportedly placed orders for more than 2 million H200 chips, priced at approximately $27,000 each. The U.S. government stands to collect a 25% surcharge on these sales. However, it’s important to note that China’s approval excludes the use of these chips in government agencies, military applications, or critical infrastructure due to security reasons.
Source: CNBC