Major Chinese technology companies are reportedly shifting portions of their artificial intelligence training to overseas data centers in order to secure access to Nvidia’s high-performance processors, which remain restricted within the People’s Republic due to U.S. export controls. According to industry sources cited by international outlets, companies such as Alibaba and ByteDance have begun renting computing capacity from non-Chinese cloud providers in Southeast Asia, accelerating a trend that gained momentum after the temporary suspension of Nvidia’s H20 chip in the Chinese market.
Although the component has since become available again, authorities in Beijing have urged domestic firms to reduce their reliance on foreign hardware, adding pressure to the country’s broader technological landscape. One of the few companies that has not shifted its training operations abroad is DeepSeek, which accumulated a substantial inventory of Nvidia chips before the U.S. restrictions took effect and is now collaborating with Huawei on the development of its own AI-oriented processors.
Additional reports indicate that companies like Alibaba and the search giant Baidu are increasingly adopting domestically produced hardware as part of a wider strategy to strengthen technological self-sufficiency. Despite the significance of these developments for the global AI sector, none of the companies mentioned—Alibaba, ByteDance, DeepSeek, or Huawei—responded to requests for comment, while Nvidia declined to address the reports.
The situation highlights the ongoing technological tensions between the United States and China and underscores the global competition for leadership in advanced AI development, where access to cutting-edge processors remains a determining factor.
By:
“NewsXX1 Editorial Team”
