Chinese companies are ramping up orders for NVIDIA’s H20 AI chips as demand for cost-effective AI solutions like Deepseek surges, according to an exclusive Reuters report. Major cloud service providers, including Tencent, Alibaba, and Baidu, are reportedly significantly increasing their orders for the H20 chips, sources revealed. Additionally, a representative from a Chinese server manufacturer noted that smaller companies in sectors such as healthcare and education are purchasing AI servers equipped with Deepseek and NVIDIA H20 chips. Due to U.S. export restrictions, which currently block the sale of more advanced chips like the A100 and H100 to China, the H20 GPU has emerged as a viable, budget-friendly alternative for handling certain AI workloads. [Reuters]
