Nvidia makes cheaper Blackwell AI chip for China

Nvidia will launch a new, cheaper AI chip specifically for the Chinese market, aiming to circumvent US export restrictions and maintain its presence. Mass production is slated to begin as early as June. The new Blackwell-architecture chip will be priced between $6,500 and $8,000, significantly less than the restricted H20 model. It will use less advanced memory and simpler manufacturing processes to comply with US regulations limiting data processing speeds. This move comes after the US effectively banned the H20, impacting Nvidia's market share in China, which has fallen from 95% to 50%. The company is also developing another Blackwell chip for China, with production potentially starting in September.