SUMMARY
- Huawei to begin large-scale shipments of 910C AI chips in May as Chinese firms seek domestic alternatives to Nvidia.
- The 910C matches Nvidia’s H100 in performance by combining two 910B processors using advanced packaging.
- U.S. export controls, now requiring a license for H20 chips, accelerate China’s pivot to indigenous AI hardware.
China’s AI Push Strengthens as Huawei Prepares Mass Rollout of Advanced 910C Chip
Beijing | April 22, 2025 — Chinese tech giant Huawei Technologies is preparing to begin mass shipments of its advanced AI chip, the Ascend 910C, as early as next month, in a move that could significantly shift the dynamics of the global artificial intelligence (AI) hardware market. The timing aligns with fresh export restrictions imposed by President Donald Trump’s administration, which now require U.S. chipmaker Nvidia to obtain export licenses for sales of its H20 chips to China.
This development marks a critical moment in China’s broader effort to reduce dependency on U.S.-sourced semiconductors amid ongoing geopolitical and technological tensions.
Goodbye, Nvidia. Ni hao, Huawei.
— S.L. Kanthan (@Kanthan2030) April 21, 2025
Huawei has started shipping its latest AI chip (GPU) — Ascend 910C — to customers in China.
"It achieves performance comparable to Nvidia's H100 chip by combining two 910B processors into a single package through advanced integration… pic.twitter.com/K2NMo56Dbv
910C vs Nvidia: A Competitive Response to Export Bans
- The 910C offers comparable performance to Nvidia’s H100 by integrating two 910B processors into one unit.
- Delivers double the computing power and memory of its predecessor with support for more complex AI workloads.
- Not a radical breakthrough but an architectural evolution using advanced chip integration.
Sources familiar with the chip design say Huawei’s Ascend 910C achieves high-end performance not through entirely new architecture but by leveraging sophisticated packaging techniques. While Nvidia’s H100 remains a global benchmark, the 910C’s ability to compete at that level makes it an attractive domestic alternative for Chinese AI firms navigating U.S. trade restrictions.
“Huawei’s Ascend 910C GPU will now become the hardware of choice for Chinese AI developers,” said Paul Triolo, partner at Albright Stonebridge Group.
Supply Chain Resilience: From SMIC to TSMC Links
- SMIC, China’s largest chip foundry, is producing components for the 910C using its 7nm N+2 process, though yields remain low.
- Some chips may originate from Taiwan’s TSMC, indirectly supplied via Sophgo, a Chinese firm.
- The U.S. Commerce Department is investigating TSMC’s links to the 910C after one of its chips was found in an earlier 910B unit.
While Huawei has not publicly confirmed production partners, sources suggest that some of the 910C’s silicon may be repackaged or resourced from older or previously stockpiled chips, a strategy China has reportedly adopted to circumvent sanctions.
TSMC, under pressure from U.S. regulators, maintains that it ceased all shipments to Huawei in September 2020, but the Sophgo connection has raised fresh concerns about backdoor channels in the chip supply chain.
AI Market Realignment in China
- Chinese tech firms are scrambling to replace Nvidia H20 chips after new U.S. licensing rules.
- Nvidia’s H100 and B200 chips were already banned for sale in China since 2022.
- Rising Chinese GPU players like Moore Threads and Iluvatar CoreX are also eyeing opportunities.
The U.S. government’s restrictions are part of a broader strategy to limit China’s access to cutting-edge computing for military applications, but analysts warn it may accelerate domestic innovation in China’s AI industry.
With Nvidia’s presence diminishing, Huawei’s 910C and competing domestic offerings could dominate Chinese AI infrastructure deployments, from data centers to model inference pipelines.
Strategic Implications: Huawei at the Helm of China’s AI Resilience
- Huawei distributed 910C samples to major Chinese tech firms in late 2024 and began accepting orders soon after.
- The first mass shipments are expected in May 2025, with local demand already exceeding expectations.
- This transition may redefine Chinese AI capability and alter global chip supply-chain dynamics.
By leveraging architectural consolidation rather than bleeding-edge breakthroughs, Huawei has positioned itself to fill the vacuum created by Nvidia’s forced retreat. Its hybrid strategy of vertical integration and local manufacturing, combined with a domestic push for AI sovereignty, is helping China create a sustainable, if not yet fully competitive, AI hardware ecosystem.
Final Word: Washington’s Curbs May Fuel the Very Race It Hoped to Slow
As Washington tightens the leash on AI chip exports, Huawei is not only surviving but adapting quickly. The 910C, though born out of necessity, represents more than just an AI chip—it is a symbol of China’s post-sanctions playbook: adapt, replicate, scale.
In a high-stakes race for technological supremacy, the battlefield has shifted from performance to access. And in 2025, that access might just be local.
