Nvidia's New AI Chip for China Faces Weak Demand Amid Trade Tensions

Nvidia's RTX 6000D Chip in China

• 💡 Nvidia's latest AI chip for China, the RTX 6000D, is experiencing lukewarm demand.
• ⚠️ Some major tech firms are choosing not to place orders, citing the chip as expensive for its performance.
• 📉 Sample testing indicates the RTX 6000D's performance lags behind the RTX 5090, a chip previously banned for use in China.

H20 Chip and Market Uncertainty

• ❓ Chinese tech giants like Alibaba, Tencent, and ByteDance are awaiting clarity on orders for Nvidia's H20 chip.
• 🚚 Nvidia regained permission to sell the H20 in July, but shipments have not yet restarted.
• 🗓️ The RTX 6000D began shipping this week, according to sources.

US-China Trade Tensions and AI Chips

• ⚡ Access to cutting-edge AI chips is a major point of contention in US-Sino trade tensions.
• 🇨🇳 While the US has eased some export restrictions, China is increasingly pushing its firms to adopt domestic chips.
• ⚖️ Beijing has accused Nvidia of violating China's anti-monopoly law, adding further uncertainty to Nvidia's business in China.
• 🤝 The accusations come as trade delegations from both countries meet to discuss a trade agreement.