Exclusive-Baidu placed AI chip order from Huawei in shift away from Nvidia -sources

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BEIJING/SHANGHAI : Baidu ordered artificial intelligence chips from Huawei this year, two people familiar with the matter said, adding to signs that U.S. pressure is prompting Chinese acceptance of the firm's products as an alternative to Nvidia's.

Baidu sign is seen at the World Artificial Intelligence Conference in Shanghai, China July 6, 2023. REUTERS/Aly Song/File Photo

The second person said that the order's total value was approximately 450 million yuan and that Huawei was to deliver all of the chips by the end of this year. Both people declined to be named because the details of the deal were confidential. Although Huawei's Ascend chips are still seen as far inferior to Nvidia's in terms of performance, the first source said they were the most sophisticated domestic option available in China.

After the U.S. last year imposed rules stopping Nvidia from selling its A100 and H100 chips to China, the company issued new A800 and H800 chips as alternatives for Chinese customers, including Baidu. Nvidia is no longer able to sell those chips to China because of the October rules.Analysts predicted last month that the U.S. curbs would create an opening for Huawei to expand in its $7 billion home market. The company has been the subject of U.S. export controls since 2019.

Source: Tech Daily Report (techdailyreport.net)

 

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