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Baidu and Huawei Cement Lead in China’s GPU Cloud as IPO Wave Accelerates

Policy-driven investment plus full-stack control are shaping how China scales AI compute without ready access to top U.S. GPUs.

Overview

  • Frost & Sullivan estimates for H1 2025 show Baidu at 40.4% and Huawei at 30.1% of the GPU cloud market, counting only providers that own the full chip-to-cloud stack.
  • Baidu confirmed a confidential Hong Kong IPO filing for its Kunlunxin chip unit, which shipped nearly 70,000 units in 2024 and recently introduced M100 and M300 accelerators for inference and large-model training.
  • Biren began trading in Hong Kong last week after raising about $720 million, while Moore Threads and MetaX listed on Shanghai’s Star Market and Enflame advances toward a debut.
  • Analysts attribute Baidu and Huawei’s dominance to vertical integration across chip design, data centers, and cloud services, exemplified by Baidu’s previously disclosed 30,000‑chip Kunlun training cluster.
  • Frost & Sullivan flags constraints in hardware performance, software ecosystems, system integration, and commercial operations, as U.S. export controls keep China focused on domestic GPU stacks.