Nvidia struggles to fulfill Chinese orders

Reuters reported that American semiconductor company Nvidia announced its inability to meet the high demand from Chinese technology firms. Companies such as ByteDance, Alibaba, and Tencent ordered more than 3 million units of the "RTX Pro-5500" graphics cards. This comes amid U.S. export restrictions that ban the sale of high-performance chips for data center equipment to China, leading to a decline in the company's market share for AI chips in China. Despite these restrictions, Chinese companies continue to import and use lower-power Nvidia chips, which are estimated to be produced around 3 million units in 2027 valued at over $35 billion, while demand for their less powerful products remains high in the Chinese market.

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