China has given the green light to three of its largest technology companies ByteDance, Alibaba, and Tencent to import more than 400,000 Nvidia H200 artificial intelligence chips, according to Reuters. This approval marks a notable shift in Beijing’s approach, as the government seeks to balance the country’s growing AI demands with efforts to encourage domestic chip development.
The approval comes with certain conditions, sources told Reuters, though the specifics have not been publicly disclosed. Other Chinese companies are now entering a queue for subsequent approvals, signaling that more firms may soon gain access to Nvidia’s high-performance AI hardware.
The H200 chips, produced by US-based Nvidia, are among the most advanced AI processors available, capable of powering large-scale AI models and high-performance computing applications. Access to these chips is expected to significantly boost the AI capabilities of Chinese tech giants, who are racing to develop cutting-edge AI solutions for sectors ranging from social media and e-commerce to cloud computing.
This move reflects China’s delicate balancing act: while Beijing continues to promote domestic semiconductor innovation, it is also allowing selected companies to acquire foreign technology to maintain competitiveness in the global AI landscape. Analysts say such approvals could signal a more flexible stance from Chinese authorities, potentially easing some of the tensions surrounding US-China technology restrictions.
