NVIDIA's share in China fell from 95% to 50% due to US sanctions - the company is losing $50 billion in the market
At Computex 2025, NVIDIA CEO Jensen Huang confirmed that The company's share of the Chinese AI market has fallen from 95% to 50%, as a result of strict export restrictions imposed by the United States. According to him, The company is losing $50 billion in market share, and competition from Chinese manufacturers, especially Huawei, is intensifying every month.
The sanctions began during the Biden administration and were aimed at restricting the export of AI accelerators such as H100 and A100to prevent them from reaching "hostile countries." However, according to Huang, These measures turned out to be strategically wrong, because instead of isolating them, they encouraged the development of their own solutions inside China. NVIDIA's main rival is now Huawei with its accelerators Ascend 910B and 910C, which are already used in the Tencent, Baidu and ByteDance ecosystems for AI inference tasks.
Moreover, Huawei presented CloudMatrix 384, its first cluster system for AI training, which in China is already being called an analogue Blackwell GB200 NVL72 from NVIDIA. This suggests that the country is actively building own AI infrastructure, and if export restrictions continue, NVIDIA risks being completely forced out of the Chinese market.
Huang said that "The world cannot allow China to build its own AI ecosystem", otherwise the US will lose its global technological leadership. Despite attempts to adapt - for example, with the release of a limited version of the accelerator H20 for China — NVIDIA has already lost a significant portion of its revenue. Even though it plans to ship chips this year B40, they no longer compensate for the outflow of customers to Chinese brands.
