Nvidia's China Strategy Shift Amid Trade Restrictions
Nvidia CEO Jensen Huang acknowledged the company has "largely conceded" China's artificial intelligence chip market to Huawei, marking a significant shift in the semiconductor landscape. This admission comes as U.S. export restrictions continue reshaping global AI competition. Despite reporting blockbuster quarterly results with revenue surging 85% to $81.62 billion, Huang emphasized that China remains off-limits for now. The Chinese market previously accounted for at least one-fifth of Nvidia's data center revenue before export controls took effect. Huang told investors to expect nothing regarding approvals for advanced chip sales into China, signaling a realistic outlook on near-term market access. Huawei has capitalized on this vacuum, posting record results with strong momentum ahead.
