Chinese technology giants, including ByteDance, continue to show strong demand for Nvidia’s AI chips, even as Beijing regulators pressure companies not to buy them, according to four sources familiar with procurement discussions.

The persistent interest highlights the tension between China’s desire to reduce reliance on U.S. semiconductors and the overwhelming global demand for Nvidia’s industry-leading AI hardware.

Demand for Nvidia H20 AI Chips

Chinese tech firms are currently focused on securing shipments of Nvidia’s H20 chip, which received renewed U.S. approval for sale in China in July 2025.

• The H20 chip sells for $10,000 to $12,000 per unit.
• Firms want reassurance that their orders are being processed, given rising global competition for limited supply.

Nvidia’s Upcoming B30A Chip

Sources revealed that Chinese companies are also closely monitoring Nvidia’s plans for a new AI chip, the B30A, which is based on the Blackwell architecture.

• The B30A could cost nearly double the H20’s price.
• Despite the higher cost, companies view the pricing as a good deal, with performance expected to be up to six times more powerful than the H20.

Like the H20, the B30A is expected to be a downgraded model specifically designed to comply with U.S. export restrictions.

U.S.-China Tech Rivalry Over AI Chips

Nvidia generated 13% of its revenue from China in the past fiscal year, making the country a vital market. However, AI chip access remains a flashpoint in the U.S.-China tech rivalry:

• The U.S. has loosened some restrictions, allowing limited Nvidia chip sales to China.
• Critics argue this is beneficial, as Chinese firms using Nvidia hardware remain tied to its CUDA software ecosystem, reducing the incentive to switch to Huawei’s AI chips.
• U.S. President Donald Trump recently struck a deal requiring Nvidia to give the U.S. government 15% of its H20 revenue.

Beijing’s Push for Chip Independence

Despite the demand, Chinese regulators are pressuring firms to move away from U.S. technology.

• Authorities have summoned companies such as Tencent and ByteDance to explain their H20 purchases.
• Officials expressed concerns about data security and information risks tied to U.S.-sourced chips.

This underscores China’s long-term strategy to develop domestic alternatives and reduce dependency on U.S. semiconductor technology.

Final Thoughts

The ongoing struggle between Chinese demand for Nvidia’s cutting-edge AI chips and Beijing’s push for self-reliance highlights the complexity of the U.S.-China tech rivalry. With Nvidia preparing to launch the B30A chip, Chinese firms are weighing immediate performance needs against mounting political pressure to pivot toward homegrown solutions.