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Huang Says China Will Win the AI Race as Nvidia Shares Fall

Huang cited cheaper power with lighter regulation in China as decisive advantages.

Overview

  • Speaking at the Financial Times’ Future of AI Summit, Jensen Huang said “China is going to win the AI race,” marking his bluntest assessment yet of the rivalry.
  • He contrasted Beijing’s subsidized energy and streamlined rules with growing constraints in Western markets, which he said raise AI development costs.
  • Nvidia shares dropped late Wednesday after the FT published the remarks, according to market reporting.
  • The comments land as President Trump says Nvidia’s most advanced Blackwell chips should be reserved for U.S. customers, and Nvidia has not sought export licenses for those top-tier processors in China.
  • Reports indicate China has directed new state-funded data centers to use domestic AI chips and expanded subsidies that lower operating costs, while separate reports say Nvidia and AMD agreed to remit a portion of China-tailored chip revenue to U.S. authorities.