Nvidia's latest China-specific AI chip, the RTX6000D, is encountering muted interest from major tech firms despite its tailored design for the Chinese market, according to industry sources familiar with procurement discussions. The chip's underwhelming reception highlights growing challenges for foreign semiconductor companies navigating US export controls and shifting market dynamics in Asia's largest economy.
Performance vs. Price Dilemma
Two sources revealed that multiple Chinese tech giants have hesitated to place orders after testing showed the RTX6000D's AI inference capabilities lag behind those of Nvidia's banned RTX5090 gaming chip. Despite being prohibited through official channels, the RTX5090 remains widely available via grey market networks at less than half the RTX6000D's 50,000 yuan ($7,000) price point.
Waiting Game for Advanced Chips
Major players including Alibaba, Tencent, and ByteDance are reportedly holding out for clarity on two fronts: the stalled shipments of Nvidia's H20 chip approved in July, and potential US approval for the more powerful B30A model. This strategic hesitation comes as Chinese firms balance immediate needs with long-term technological ambitions.
Export Restrictions Reshape Market
The RTX6000D represents Nvidia's third attempt to create China-compliant versions of its advanced chips following successive rounds of US export restrictions. While analysts initially projected strong demand – with JPMorgan forecasting 1.5 million units and Morgan Stanley predicting 2 million in the pipeline – current procurement patterns suggest a significant gap between expectations and market reality.
Nvidia began shipping the RTX6000D this week, according to one source, though the company has not publicly commented on production figures or order volumes. The developments underscore the complex interplay between geopolitical constraints, market forces, and technological innovation shaping Asia's semiconductor landscape.
