Chinese companies are upping orders of NVIDIA’s H20 AI chip as demand booms for DeepSeek’s low-cost AI models, according to an exclusive report from Reuters. Cloud service providers in particular, including Tencent, Alibaba, and ByteDance, are significantly increasing their orders of the H20 chip, sources said. An insider from a Chinese server manufacturer revealed that small businesses in healthcare and education among other sectors are purchasing AI servers equipped with DeepSeek’s AI models and NVIDIA H20 chips. With US export controls currently prohibiting the sale of NVIDIA’s more advanced A100 and H100 chips to China, Chinese companies can only purchase the H20 GPU as a cost-effective alternative that meets some AI workloads. [Reuters]
Related
