South Korean media: "Cannot lose the Chinese market", Nvidia to set up a research and development center in Shanghai! On May 19th, South Korean media "The Korea Herald" published an article stating that American AI chip design company Nvidia is advancing plans to build a research and development center in Shanghai. The plan is to develop AI chips suitable for the Chinese market in China in response to the US government's series of AI chip export restrictions. According to the Financial Times citing multiple sources, Nvidia CEO Jensen Huang mentioned this plan during his visit to Shanghai last month. Sources said that the Shanghai R&D center will study specific customer requirements in China as well as technical requirements needed to comply with the restrictions. However, due to the sensitivity of intellectual property transfer, the company will not carry out actual core design and production. Sources stated that the Shanghai R&D center will participate in Nvidia's R&D projects worldwide, including chip design verification, optimization of existing products, and key research in areas such as autonomous driving. Currently, Nvidia is lobbying to obtain approval from the US government. Nvidia currently has approximately 2000 employees in Shanghai, most of whom are sales and related support personnel, without any R&D functions in China. However, with the consecutive restrictions on AI chip exports to China by the US government, Nvidia is pushing to establish a research and development center to produce customized chips for the Chinese market. The Biden administration restricted the export of Nvidia's most advanced AI chip H100 to curb China in AI competition. The Trump administration also recently restricted the export of the downgraded H20. Nvidia achieved about $17 billion in sales in China alone last year, equivalent to 14% of the company's total sales, and these consecutive export restrictions may severely impact Nvidia. Nvidia's push to establish the Shanghai R&D center can be interpreted as expressing its determination not to abandon the Chinese market even in the face of US restrictions. Huang Renxun has recently increased his criticism, stating that the US government's export restrictions will ultimately only benefit China. He previously stated at an economic event, "There is no doubt that if we completely leave the Chinese market, others will step in. For example, Huawei is a very powerful company. They will join in." [Image: //p26-sign.toutiaoimg.com/tos-cn-i-ezhpy3drpa/516e6ce5d89d439c8a4bdd020ba91704~tplv-obj:1920:1080.image?_iz=97245&bid=15&from=post&gid=1832552913101836&lk3s=06827d14&x-expires=1755388800&x-signature=A046k5Uzhcyb6a9T%2FYmK%2BVNoWhU%3D] (Source: https://www.toutiao.com/article/1832552913101836/) Disclaimer: This article solely represents the author's personal views.