Overview

• Chinese tech companies, including Alibaba, ByteDance, and Tencent, increased H20 GPU purchases by 4x to 6x compared to Q1 2024.
• Nvidia's H20 chip, compliant with U.S. export restrictions, is the most advanced AI chip legally available in China.
• Reports suggest Chinese firms are stockpiling GPUs in anticipation of further U.S. restrictions on AI technology exports.
• H3C, a leading Chinese server maker, has warned of potential shortages due to unprecedented demand for Nvidia's products.
• Concerns persist over smuggling, with some observers suggesting GPUs sold in Singapore may be diverted to China.