Nvidia CEO Jensen Huang said Chinese competitors in Artificial Intelligence (AI) are filling the void left by the departure of American companies from this market, and that their technology is becoming increasingly powerful. “Chinese competitors have evolved,” Huang said in an interview with Bloomberg Television on Wednesday. Huawei, the Chinese technology company that is on the US government’s black list, has become “quite formidable,” he added.
US restrictions on exports to China have practically blocked Nvidia in the largest chip market in the world, and the company expects to lose about $ 8 billion in sales this quarter alone. During the teleconference of quarterly results, Huang argued that the US government should alleviate these restrictions. According to him, instead of maintaining AI technology out of Chinese hands – the objective of measures – local companies are finding alternatives.
Huang pointed out that companies such as Tencent and other major buyers of Nvidia’s products can no longer be guilty of resorting to Huawei, as they can no longer depend on American suppliers. “Like everyone else, they are bending, quadrupling their abilities every year,” he said. “And the volume is increasing substantially.”
The executive warned that the difference between American products and Chinese alternatives is decreasing. Huawei’s latest AI chip performs similar to NVIDIA’s H200 – component that was a reference until recently replaced. Under the new rules, Nvidia can’t even send its H20 chip to China, which is a reduced version of the H200. “It is not possible to degrade the abilities of the product,” Huang told Bloomberg Technology.
Nvidia is considering alternatives for the H20, but does not have a planned chip yet, and when you have it, you will need Washington authorization. “The importance of the Chinese market cannot be underestimated,” said Huang. “It’s the home of the world’s largest population of researchers in IA.” He said he wished all AI researchers and AI developers use American technology. “Regardless of the success of short -term revenue, we can’t ignore that the Chinese market is very important,” he concluded.
In the interview, Huang also commented on the revocation of visas from Chinese students in the US and the impact of this on Nvidia. “I believe management still greatly values the importance of immigration,” said Huang, born in Taiwan. “I’m immigrant. I know many immigrants who came to the US to build a better life, and many of us contribute a lot to the American technology industry.” He believes this will continue. “We would like the best talents to come here,” he said.
Continues after advertising
© 2025 Bloomberg L.P.
