Huawei is reportedly developing a new AI chip, the Ascend 910D, to compete with Nvidia's high-end processors. According to a Wall Street Journal report, Huawei has contacted Chinese tech firms to begin testing this chip, with sample units expected to be distributed by late May. The Ascend 910D aims to surpass the performance of Nvidia's H100 chip used in 2022. Huawei also plans to ship over 800,000 earlier models, the Ascend 910B and 910C, to various customers, including state-owned telecoms and private AI companies such as ByteDance. Amid escalating US-China trade tensions, China is encouraging domestic purchases of local chips. Nvidia has recently anticipated financial impacts from US government restrictions on chip exports to China, affecting their business operations. In response, Chinese leadership emphasizes the need for technological self-reliance and innovation, focusing on core technologies like AI and high-end chips. This initiative aligns with President Xi Jinping's call for strengthening domestic capabilities in technology and AI-related sectors.

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