Nvidia To Mass-Produce Lower-Cost Blackwell AI GPU For China

Nvidia will begin mass production of a new AI GPU for China as early as June, offering a lower-cost alternative to its now-restricted H20 chip, according to Reuters. The new processor is part of the Blackwell architecture but features weaker specs and conventional GDDR7 memory instead of more advanced high bandwidth memory. The move follows the H20 ban in April, which forced Nvidia to write off $5.5 billion in inventory and abandon $15 billion in projected sales. Nvidia CEO Jensen Huang said the company can no longer modify its older Hopper architecture to meet evolving restrictions. China accounted for 13% of Nvidia’s revenue last year, but its data center market share has dropped to 50%, with Huawei gaining ground.