Baidu, ByteDance, Tencent, and Alibaba have placed orders worth US $1 billion to purchase about 100000 A800 processors from Nvidia, which will be delivered this year

1. This marks that Chinese technology companies have further increased their investment and emphasis on independently controllable chips, no longer overly relying on imported chips, reflecting the spirit of self-reliance.

2. This batch of orders reflects the urgent demand of Chinese enterprises for artificial intelligence computing power. Chips will mainly be applied in artificial intelligence applications such as machine learning, autonomous driving, intelligent assistants, and intelligent security.

3. The rapid development of China’s digital economy has provided broad application space for chips. This is conducive to promoting the development and growth of the domestic chip industry.

4. Purchasing high-end chips from technologically advanced NVIDIA can obtain advanced technology, which is helpful for improving China’s chip design and manufacturing capabilities.

Nvidia is also actively expanding into the Chinese market, and cooperation with leading technology companies is beneficial for both parties. Cooperation between Chinese and American enterprises can help reduce gaming in the chip industry.

In short, this procurement fully demonstrates the determination of Chinese enterprises to accelerate the promotion of chip autonomy and controllability and also reflects the possibility of mutually beneficial cooperation. I believe that the joint efforts of technology enterprises, it is expected to further promote the significant development of the chip industry.

Author: listenerxu
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