Sources: 
Nvidia is preparing to mass produce a new, lower-cost artificial intelligence chip for the Chinese market starting June 2025.
The new AI chipset, expected to be priced between
$6,500 and $8,000, will be based on Nvidia's RTX Pro 6000D server-class graphics processor but will use conventional GDDR7 memory instead of the more advanced high bandwidth memory.
This move comes as Nvidia's market share in China has sharply declined from
95% before 2022 to 50% currently, following U.S. export restrictions that have limited the company's ability to sell advanced chips in China.
Nvidia CEO Jensen Huang revealed the impact of these restrictions, stating the company had to write off
$5.5 billion in inventory and forgo
$15 billion in sales.
The new chip aims to regain competitiveness against local rivals like Huawei, which produces the Ascend 910B chip.
By offering a more affordable AI solution tailored for the Chinese market, Nvidia hopes to recover lost ground and adapt to the evolving geopolitical and trade environment.
"Nvidia's market share in China has plummeted from 95% before 2022, when U.S. export curbs that impacted its products began, to 50% currently," Huang told reporters in Taipei.
The strategic shift to use conventional GDDR7 memory instead of high bandwidth memory reflects Nvidia's effort to comply with export controls while maintaining performance standards.
This initiative underscores the challenges global tech companies face amid tightening U.S.-China trade restrictions and highlights Nvidia's commitment to sustaining its presence in the critical Chinese AI market.
Sources: Nvidia plans to mass produce lower-cost AI chips for China starting June 2025, priced between $6,500 and $8,000. The chips, based on the RTX Pro 6000D with conventional GDDR7 memory, aim to regain market share lost due to U.S. export curbs, which dropped Nvidia's share from 95% to 50%.
