Nvidia to Launch an AI Chip for the Chinese Market, Priced Significantly Lower than the Previous H20 Chip

According to Reuters, American chip giant Nvidia will launch an artificial intelligence (AI) chip based on the Blackwell architecture for the Chinese market, with a price significantly lower than the previous H20 chip, and is expected to begin mass production as early as June.

The report states that this AI processor, using the latest generation Blackwell architecture, is expected to be priced between $6,500 and $8,000, noticeably lower than the pricing of the H20. A lower price usually means relatively weaker chip specifications and a more simplified manufacturing process. This will be Nvidia's third time launching a downgraded version of a chip for the Chinese market that complies with U.S. regulatory requirements. The U.S. government recently banned Nvidia from selling the H20 chip based on the Hopper architecture to China.