Nvidia highlighted China-U.S. A.I Battle, A Close Call

Nvidia’s CEO, Jensen Huang, mentioned that Huawei remains one of the strongest technological firms to date,

Nvidia stock decline stopped and a strong rebound followed last week

Quick overview

  • Nvidia's CEO, Jensen Huang, acknowledged Huawei as a leading technological firm and noted China's advancements in AI technology.
  • Huang emphasized that the gap between China and America in AI is narrow, stating that this competition is a long-term race.
  • Nvidia has played a crucial role in the global economy by providing advanced AI applications and the GPUs that power them.
  • Huang highlighted challenges such as tariffs and U.S. regulations that have led to significant financial losses for Nvidia, estimated at $5.5 billion.

Nvidia’s CEO, Jensen Huang, mentioned that Huawei remains one of the strongest technological firms to date, and that China is quite advanced in AI technology.

He states that they are not behind. He said the gap isn’t that wide, putting China behind America right now, as we are close. Remember, ‘this is a long race,’ Huang emphasized.

Nvidia has been pivotal for the world economy over the past few years, as it provides the majority of advanced AI applications, augmenting newly developed AI frameworks. Nvidia is responsible for the GPUs powering them.

Huang has to deal with various roadblocks; the challenges Nvidia faces tend to be tariffs and, more aggressively, the Biden administration’s regulations affecting the most advanced AI chips.

Under Trump’s administration, Nvidia faced aggressive export restrictions, couldn’t ship its H20 chips to China without permits.

Compliance has further complicated the type of technology developed with Hopper chips. Nvidia labels limitations like these as leading to financial losses, stating that the costs will hit them at $5.5 billion.

Huawei claimed they plan on building their own AI chips for a limited scope of buyers from China aimed at blacklisting them.

As Huang stated, “They are remarkable at computation and network functioning; all these fundamental skills are critical in developing AI technology.

ABOUT THE AUTHOR See More
Olumide Adesina
Financial Market Writer
Olumide Adesina is a French-born Nigerian financial writer. He tracks, analyzes, and reports changes in financial markets with over 15 years of working experience in investment trading.

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