A chip for the much cheaper than its H20 prohibited by the US

In early May we tell you that Nvidia engineers were working on the development of A trimmed review of your GPU for artificial intelligence (AI) H20 with the purpose of Place it on the Chinese market. To understand what is happening the first thing we should keep in mind is that during the last fiscal year, which expired on January 26, 2025, China represented approximately 13% of total income of the company led by Jensen Huang with a figure of about 17,000 million dollars.

In practice, the country governed by Xi Jinping is the third best client of this company only behind the US and Taiwan. However, the sanctions to China that are deploying the US government threatens Nvidia’s survival in this Asian country. Currently this company cannot sell its chips to its Chinese clients for the most advanced. And in the middle of last April the US Department of Commerce imposed new export restrictions on China from The H20 GPU of Nvidia.

Nvidia is going to assault China with a chip for the much cheaper than its H20

The reception they have given to the GPU H20 The Chinese clients of Nvidia has been very good despite the fact that the capabilities of this chip are clearly lower than those of the other proposals for the this company. In fact, initially the Department of Commerce allowed its sale in China because this integrated circuit met the restrictions it had imposed. And despite its limitations its sales in China 50% quarter to quarter have grown Since he arrived in this market in mid -2024.

Anyway, this time of bonanza is over. The restrictions of the Department of Commerce in practice prevent Nvidia Deliver the H20 GPU to its Chinese clientsbut This company does not give up. And is that, according to Reutersin June the Taiwanese manufacturer of TSMC semiconductors, the largest on the planet, will begin the manufacture of a new GPU for NVIDIA with the latest Blackwell microarchitecture. Presumably this is the chip with which Nvidia will aspire to maintain its domain in the Chinese market.

However, before being able to send these GPU to China, the company led by Jensen Huang will have to receive the approval of the US Department of Commerce. What we know at the moment is that this chip for AI will be less capable than the H20 GPU, as is logical, and also that its price will move between $ 6,500 and $ 8,000. For domestic users it is a lot of money, but in the field of professional GPUs for AI it is a moderate price.

In fact, the GPU H20 Cuesta Between 10,000 and $ 12,000so it is evident that Nvidia wants to protect the competitiveness of this chip to prevent Huawei, Moore Threads and other Chinese companies from snatching a juicy portion of this market.

Image | Nvidia

More information | Reuters

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