[News] Jensen Huang: NVIDIA’s China Market Share Plummets from 95% to 50% amid U.S. Export Curbs

Speaking at Computex 2025 in Taipei today, NVIDIA CEO Jensen Huang, in a rare blunt moment, openly called out how U.S. chip export controls have hammered the AI chip giant’s position in China. Once commanding 95% of the Chinese market four years ago, NVIDIA now holds just 50%, with local rivals rushing in to take the rest, according to Reuters, the Economic Daily News and TechNews.

Shortly after the H20 ban implemented by the Trump administration, Commercial Times indicated that NVIDIA is developing a new custom AI chip for the Chinese market based on its latest Blackwell architecture, replacing the H20. But as Huang noted today, being limited to lower-end chips has driven down NVIDIA’s average selling prices and cut into overall revenue, as highlighted by TechNews.

Huang Slams U.S. Export Controls as a Failure

Huang’s remarks came just days after China urged the U.S. to end what it called “discriminatory” measures, following new guidance warning companies against using Chinese-made AI chips, including Huawei’s Ascend.

He referred to the U.S. export controls to be a “failure,” saying that the basic assumptions behind the AI chip restrictions turned out to be completely wrong, as per Reuters.

At the sidelines of Computex a couple of days ago, Huang also put a price on the U.S. government’s latest chip export restrictions to China, quantifying it as a $15 billion hit, according to Barron’s. The tech giant had already expected a $5.5 billion loss from inventory and purchase commitments in the first quarter, the report adds.

According to the Economic Daily News, Huang regards the Chinese market to be of great importance in two ways. First, he pointed out that China accounts for 50% of the world’s AI researchers, citing DeepSeek’s AI model as a standout example built on NVIDIA’s technology.

The Economic Daily News, citing Huang, highlights China as the world’s second-largest computing market, with its AI sector set to hit $50 billion by 2026. Tapping into this market means big opportunities for NVIDIA—and boosts in U.S. tax revenue, jobs, and growth, Huang said.

Read more

• [News] NVIDIA Ditches Hopper, Reportedly Turns to Blackwell for China-Specific AI Chip
• [News] Made-in-USA Costs Bite? NVIDIA Reportedly Hikes GPU Price Tags Across the Board

(Photo credit: NVIDIA)