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Demand for NVIDIA H20 chips surges as Chinese companies adopt DeepSeek’s AI models: report

By AI Observer
Demand for NVIDIA H20 chips surges as Chinese companies adopt DeepSeek’s AI models: report

Report: Demand for NVIDIA’s H20 chips increases as Chinese companies adopt DeepSeek AI models.

According to Reuters, exclusive reports show that Chinese companies are increasing orders of NVIDIA H20 AI chips as the demand for DeepSeek AI models with low costs is booming. Sources claim that cloud service providers, such as Tencent, Alibaba and ByteDance are increasing their orders for the H20 chip. According to an insider at a Chinese server manufacturer, small businesses in the healthcare and education sectors are buying AI servers with DeepSeek AI models and NVIDIA’s H20 chips. Due to US export controls, NVIDIA’s A100 and H100 chips are not available in China. Chinese companies must instead purchase the H20 GPU. This is a more cost-effective option that can meet some AI workloads.[Reuters]

www.aiobserver.co

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