As the United States contemplates stricter trade regulations to prevent advanced chip technology from reaching China, U.S.-based chip manufacturer Nvidia is reportedly developing a version of its new artificial intelligence chips designed to meet these standards.
Nvidia is creating a variant of its Blackwell AI chips specifically for the Chinese market, according to Reuters, which cited anonymous sources familiar with the situation. The company plans to collaborate with local distribution partner Inspur to introduce and market the chip, provisionally named the “B20,” in China.
Sources indicate that the B20 is projected to begin shipping in the second quarter of 2025. Nvidia has chosen not to comment on this information.
The chipmaker has already designed three chips that adhere to U.S. export regulations, including the H20, for which it has reduced prices in response to weak sales, primarily to compete with products from domestic rival Huawei. However, sales of the H20 have reportedly begun to increase, with estimates suggesting Nvidia could sell over one million H20 chips in China this year, amounting to approximately $12 billion, despite existing U.S. trade barriers. This sales expectation is nearly double Huawei’s projected sales of its Ascend 910B chip.
At the same time, analysts from Jefferies have warned that Nvidia’s H20 chips could face potential risks under additional U.S. trade regulations. They noted that during the annual review of U.S. semiconductor export controls in October, it is “highly likely” that sales of the H20 to China will be prohibited. Such a ban could be implemented through various means, including a product-specific ban, lowering the computing power threshold, or placing limits on memory capacity.
Furthermore, the U.S. might expand export controls affecting chips sent to neighboring countries such as Malaysia, Indonesia, and Thailand, as well as potentially imposing restrictions on overseas Chinese companies, although this would present greater challenges in enforcement, according to analysts.