Nvidia may earn $12 billion from shipping one million H20 AI chips to the Chinese market this year

The US chip manufacturer Nvidia will ship over one million new H20 accelerator chips to the Chinese market this year, generating over $12 billion in revenue for the company, according to the latest forecast data from market research firm SemiAnalysis. Due to US export control policies, the export of Nvidia’s advanced AI chips to China has been restricted since 2022. The H20 is a cut-down version GPU that Nvidia specifically launched for the Chinese market based on the H100, but its AI performance is less than 15% of that of the high performance chip. Nevertheless, analysts at SemiAnalysis stated that the H20 chip is now being shipped in volume and is growing in popularity with Chinese customers despite its reduced performance compared with its US counterpart the H100. [Icsmart, in Chinese]