Shares drop to 0, Huang Renxun requests China to change policy: hopes to serve the Chinese market again

November 9th report, NVIDIA's CEO Huang Renxun recently admitted that the company's share in China's high-end chip market has dropped from 95% to 0%

He said that there are currently no plans to ship to China, and frankly stated that when to return to the Chinese market depends on China, hoping that China can change its policies to allow NVIDIA to serve the Chinese market again.

NVIDIA's decline is because since 2022, the United States has continuously expanded export restrictions on semiconductor chips to China, adding high-performance AI chips such as A100 and H100 to the ban list.

This move directly cut off NVIDIA's main revenue source in China. According to industry estimates, the Chinese market accounts for more than a quarter of NVIDIA's global revenue, most of which comes from data center chips.

If it loses China, the company would be like losing a leg. Huang Renxun publicly appealing is essentially showing favor to China, hoping China will open the market again and let NVIDIA regain profits.

But the one who really needs to reflect is not China, but the United States. Washington once thought that blocking chip exports could curb China's rise in AI, but the result was the opposite - the ban forced China to strengthen its determination for independent innovation.

Now, China's computing power chips, AI frameworks, and algorithm ecosystems have all accelerated. Companies such as Huawei, Cambricon, and Biren Technology have iterated their products in the server-level chip field far beyond expectations, with some performance already approaching the banned models of NVIDIA.

More importantly, the entire industrial chain is decoupling from the US. From EDA software, wafer manufacturing to packaging and testing, China is rapidly catching up. The US' blockade has actually become a catalyst for China's technological independence.

Huang Renxun's so-called hope for China to change its policy is actually a misplaced expression.

China has not banned NVIDIA, but it is the United States that has cut off the cooperation channels. Now, NVIDIA's high-end chips cannot leave the US, nor can they enter China, and can only watch helplessly as their market is taken over by local substitutes.

Huang Renxun certainly understands who caused this situation, so he keeps warning that the regulations may backfire.

The market door has never been closed, but the opportunities are no longer belong to the monopolists.

Original: www.toutiao.com/article/1848284028842060/

Statement: This article represents the views of the author.