Nvidia recently identified Huawei as a top competitor in the tech industry, particularly in the artificial intelligence chip sector. The California-based company acknowledged that Huawei is actively involved in supplying various chips designed for AI applications, including GPUs, CPUs, and networking chips.
Huawei, a major player in the Chinese tech market, has developed its Ascend series of chips to directly compete with Nvidia’s AI chip offerings. The 910B chip from Huawei is seen as a direct rival to Nvidia’s A100 chip, which has been in the market for around three years.
Analysts estimate that the Chinese AI chip market is valued at approximately $7 billion, indicating significant growth potential and competition in the sector. Last year, reports surfaced that Chinese tech giant Baidu placed a chip order with Huawei in anticipation of stricter regulations on AI chip exports to China imposed by the U.S. government.
Apart from Huawei, Nvidia also highlighted other competitors in the industry, including Intel, Advanced Micro Devices, Broadcom, Qualcomm, Amazon.com, and Microsoft. These companies are actively involved in the development and supply of AI chips, reflecting the intense competition in the market.
Following the news of Nvidia’s recognition of Huawei as a top competitor, Nvidia shares surged by 14% in afternoon trading. The company issued a strong revenue forecast, exceeding consensus estimates, driven by robust demand for AI technologies.
The acknowledgment of Huawei’s strong presence in the AI chip sector by Nvidia underscores the competitive landscape in the industry. As companies continue to innovate and develop advanced AI technologies, competition is expected to intensify, leading to further advancements and growth in the sector.
