The media reports that Chinese technology giant Huawei is currently approaching the introduction of its new artificial intelligence chip.

The mentioned company’s new microcircuit will likely become a product that, in a certain sense, will challenge Nvidia which is one of the main beneficiaries of the so-called AI boom and reached a market capitalization of $3 trillion this summer. At the same time, it is worth noting that in this case, it implies a potential strengthening of the competitiveness of the Chinese technology giant in the domestic market, and not at the global level.

The media released information about the imminent debut of an artificial intelligence chip from Huawei, citing anonymous sources aware of the company’s plans, which are so far known only in the so-called backstage space.

Journalists report that over the past few weeks in China, local Internet firms and telecommunications companies have been testing the latest Huawei Ascend 910C processor. This information was provided to media representatives by insiders. Also, according to preliminary data, Huawei has told its potential customers that the mentioned latest processor is comparable to the Nvidia H100 in terms of performance.

Huawei has not yet responded to a media request for comment on information about the new chip.

It is worth mentioning that in recent years the United States has taken decisions to restrict the export of advanced microcircuits and equipment necessary for the manufacturing of corresponding products to China. The corresponding measures deprived Nvidia of the opportunity to sell some of its products, including the H100, in the Asian country market. Washington explains its export decisions on national security grounds, arguing that Beijing can use next-generation technologies to enhance military capabilities.

Nvidia, as part of a commercial and manufacturing reaction to the mentioned restrictions imposed by US policymakers, has developed three chips designed specifically for sales in China. At the same time, in this case, the company had to significantly reduce the computing power of microcircuits to comply with Washington’s export regulations.

The media reports that Huawei plans to start shipping its latest processor in October. Insiders also claim that TikTok’s parent company which is ByteDance, Baidu, and China Mobile have already shown interest in buying the 910C.

Moreover, the media reported that the interim results of negotiations between Huawei and potential customers indicate that the volume of orders is likely to be more than 70,000 chips of the new model. The total cost of these products will be about $2 billion.

As we have reported earlier, Huawei Collaborates With ZGCMC to Drive AI Adoption.