Renowned Chinese AI software company SenseTime has shifted to the Huawei Ascend 910C AI chips closing ties with the Nvidia chips. The company has set foot to start using a large number of Huawei Ascend 910C AI chips to create large language models. According to the inner sources from the company, it is revealed that such a step is taken to enhance the AI landscape in the country by choosing Chinese-produced software processors. This alteration posed a major challenge to Nvidia in China amid the regulations set out by the United States.
SenseTime a leading AI technology in China provides advanced AI technologies across various industries. In 2023, the U.S. regulators passed a sanction order that prevented Nvidia from selling their chips including advanced chips like the H100 to the Chinese companies considering the national security issues. Even though Nvidia has introduced the H20 chips for China, due to the U.S. sanctions, the power of the chip is significantly lower as compared to their H100 chipset.
Huwaei one of the leading Chinese technological company has taken the initiative and unveiled an advanced Huwaei AScend 910C AI chips. According to the company, their latest chipset will be comparable to Nvidia’s H100. The upcoming processor has been going through thorough checkups by the internet and telecom companies in recent weeks.
The SenseTime group will be currently helping Huwaei to expand the production of their AI chips to foster the AI network system of China. The vice president of the SenseTime group Alvin Zou revealed to the media that they have already started using the latest processors by Huwaei for the new AI data center and they were able to deliver outstanding performance compared to other AI chipsets. Reportedly the telecommunication company has also received significant support from other Chinese chipmaking companies for their new AI data center.
The launching of the Huwaei Ascend 910C AI chip may be a major blow to leading foreign companies like Nvidia. The company has already set its foot in the market to compete with other major companies like Apple. Despite this fact, a survey conducted by Bernstein Research shows that Nvidia still owns 90 percent of the chip market in China whereas Huwaei only owns 10 percent. Nvidia recently also revealed that they still receive orders from various companies despite U.S. regulations and China’s decision to use in-house processed software and chipsets.
The Vice President of SenseTime Alvin Zou previously suggested that the Chinese processed chipsets lagged behind few features that the foreign AI chips offered. The Chinese companies do not utilize advanced tools like EUV and this is one of the major reasons behind their lagging. The leading foreign chipmakers use these essential tools for fabricating the chipsets. However, Chinese companies are confident to rise in the market by researching more and developing advanced AI chipsets in the coming times.
This will be a huge step for Huwaei as it is already on its way to fill the space left by the Nvdia and other foreign chip-making companies. Eric Xu Zhijun, the rotating chairman of Huwaei recently stated that the company is confident and is all set to offer more services and resources to the AI technologies to enhance and improve the AI ecosystem in China.
The country is also asking its people to increase the use of Huwaei AI chipsets for the greater purpose of transforming their country into an AI leader. Amidst the challenge from the U.S. sanction, Nvidia has not retrieved and expects to deliver more than 1 billion H20 processors in China which would gain them a profit up to 12 billion US dollars. This scenario became a topic of debate and discussion in the technological community as both teams are set ahead in strong competition against each other.
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