Nvidia and AMD are set to see their combined share of China's artificial intelligence chip market fall to just 10% by the end of the year, according to a forecast from TrendForce.
The analysts said Chinese companies will take up nearly all of the remaining market share, as multiple bans and restrictions on chip supplies to China remain in place. China's AI chip market as a whole is expected to grow 83% this year, driven mainly by domestic chips.
Domestic chipmakers gain ground
Huawei leads the domestic field, with Cambricon also a strong player. Baidu, Alibaba and Tencent, along with many smaller companies, are actively developing and releasing their own AI chips.
Nvidia's new approach
Nvidia plans to enter the Chinese market through a different route, selling its RTX Pro 5000 Blackwell professional graphics card there with either 48GB or 72GB of GDDR7 memory. The card is not an AI accelerator, but it is designed to comply with US sanctions and costs far less than specialized AI chips.
