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Nvidia is reportedly launching a new, more affordable artificial intelligence (AI) chipset for the Chinese market. Developed under its Blackwell architecture, in response to US export restrictions, they’re expected to cost half the price.
Expected to be priced between $6,500 and $8,000, significantly lower than the previously restricted H20 model, which sold for $10,000-$12,000. These chips will be based on Nvidia’s RTX Pro 6000D, a server-class graphics processor. To comply with export controls, it will use conventional GDDR7 memory instead of more advanced high-bandwidth memory. To minimize the cost it will not be using Taiwan Semiconductor Manufacturing Co’s (TSMC) advanced Chip-on-Wafer-on-Substrate (CoWoS) packaging technology
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Nvidia is bringing them soon, with Mass production beginning as early as June. They are also reportedly developing another Blackwell-architecture chip for China, with production potentially starting in September.
This is Nvidia’s third attempt to craft a GPU for China due to US restrictions. The company’s market share in China has fallen from 95% before 2022 to 50% currently. Nvidia CEO Jensen Huang has indicated that if export curbs continue, more Chinese customers may turn to competitors like Huawei, which produces the Ascend 910B chip. The H20 ban led Nvidia to write off $5.5 billion in inventory and forgo an estimated $15 billion in sales.
