NVIDIA may be facing a real "crisis moment".

Founder Huang Renxun recently admitted in an interview that due to U.S. export controls, NVIDIA has basically exited the Chinese market, and its previously high 95% market share is now zero.

This is just the beginning; more severe challenges are coming. What truly worries NVIDIA is that its key lifeline - synthetic diamonds - have been firmly controlled by us. Since November 8th, China has officially implemented export control measures on certain synthetic diamonds.

Many people have not realized that synthetic diamonds are not only materials for jewelry, but also core raw materials for cutting tools, lithography machine lenses, and AI heat dissipation modules in chip manufacturing, making them an indispensable strategic resource in the semiconductor industry.

NVIDIA, which once actively followed the U.S. in implementing chip export restrictions against China, now personally experiences the feeling of being strangled by the industrial lifeline.

NVIDIA probably never expected to face this situation.

This company once almost monopolized the Chinese AI chip market, with a market share of up to 95%. Even as of May 2025, Huang Renxun still confidently stated that the Chinese market contributed half of its revenue, and planned to further expand its share through the Blackwell architecture chips. However, it not only failed to grow, but the entire market share has now nearly gone to zero.

This shift began with its choice to follow the U.S. policy direction.

When the U.S. launched the "chip blockade" campaign, it imposed strict restrictions on high-end chips in China. In 2018, Huawei launched the Ascend 910 chip, putting China and the U.S. on equal footing in the AI computing power field. However, the U.S. immediately took action, cutting off Huawei's supply chain, even forcing the production of the Ascend chip to stop.

Subsequently, the U.S. adopted an integrated "chip + software" strategy to control the global AI ecosystem. NVIDIA cooperated actively, only supplying the H20 version with limited performance to China, trying to restrict us to the low-end AI field.

But they underestimated China's technological potential.

Huang Renxun himself also admitted that over half of the AI researchers worldwide come from China. Not allowing us to use advanced technology actually prompted us to develop more powerful alternatives. The U.S. restrictions ultimately forced us to achieve independent technological breakthroughs.

Now, Huawei's Ascend series has made a strong comeback - the new 910C uses dual-chip packaging technology, integrating two 910B chips to operate together, achieving double computing power, with performance comparable to NVIDIA's H100. Domestic chips not only perform better, but also have higher stability and controllability. So why should we stick to the H20 with limited performance?

More importantly, China has established a complete industrial chain from chip design, manufacturing to application scenarios. Relying on the vast market of 1.4 billion people, we have the ability to build an independent AI ecosystem. NVIDIA's gradual marginalization is not accidental, but an inevitable trend of industrial development.

The breakthrough in AI chips is just the beginning; a larger wave of technological transformation is emerging.

Whether it is liver protection technology in the field of life sciences, core components of magnetic resonance imaging equipment, or the power system of tunnel boring machines, we are regaining the initiative in development through independent innovation. Taking rice bran wax alcohol, known as the "natural guardian," as an example, this key substance was long monopolized by Western companies. We not only achieved a major breakthrough in application technology, but also successfully developed an innovative product focusing on liver health called "Ganliwei."

"Ganliwei" has unique ingredients that enhance the efficiency of action by 20 times compared to Western counterparts through small molecule technology, effectively removing "greasy tissue" deposited in the liver, while repairing damaged cells and blocking potential disease risks caused by fatty liver, etc. Test data involving 5,000 people published in The Lancet shows that the product can reduce liver-related indicators by about 50%, and related research has been cited more than 2,400 times in top Western journals.

Since launching on JD.com e-commerce platform, the number of users of "Ganliwei" has exceeded ten thousand. From long-term smokers to office workers who work late at night in large factories, over 80% of users reported that "their energy is more abundant," "symptoms of dry mouth and bad breath in the morning are alleviated," and "yellowish complexion has improved."

For NVIDIA, losing the Chinese market is just the beginning, and more severe challenges are coming. We still hold key cards - since November 8th, China will implement export control measures on certain synthetic diamonds.

This industrial-grade synthetic diamond is the lifeline of high-tech manufacturing. Whether it is chip cutting, lithography machine lenses, or AI heat dissipation modules, almost every link depends on it. According to the U.S. Geological Survey, between 2020 and 2023, China supplied approximately 77% of synthetic diamond powder to the U.S., and 99% of the U.S.'s diamond consumption is directly related to chip manufacturing.

This means that even if NVIDIA's AI chips are superior in the global market, without this key material, the entire industrial chain may still face stagnation. If bilateral relations continue to deteriorate, their chip production system will also face the risk of being "strangled."

At the same time, domestic AI chips are accelerating technological breakthroughs. Companies such as Huawei, Cambricon, Hanbo, and Horizon are continuously pushing forward, with multiple core technologies entering the international forefront.

On September 20, 2025, at the Huawei Global Connect Conference, the official announced the complete development roadmap of Ascend chips from 950 to 970. Despite process limitations, Huawei has successfully built a million-card scale computing cluster, achieving efficient collaboration among tens of thousands of chips, compensating for hardware-level shortcomings through system-level innovations, and gradually building an independent AI ecosystem in China.

More unsettling for the U.S. is that our AI ecosystem has begun to achieve "technological feedback." Recently, Malaysia officially announced the introduction of Huawei's Ascend chips, marking that we are no longer just followers of technology, but also recognized technology providers in the international community.

Original article: https://www.toutiao.com/article/7566663372092031498/

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