Reuters: Nvidia's China AI-chip share falls to 34% as Huawei closes gap, report finds
What happened
Per IDC data seen by Reuters, Nvidia's share of China's data-centre AI chip market fell to 34% in the first half of 2026 as U.S. export controls limited the range of products it can sell. Nvidia shipped 678,000 AI accelerators in China from January through June, down 44% from a year earlier. Huawei closed the gap substantially, shipping 572,000 AI accelerators — up from more than 300,000 a year earlier — for a 28% share. Beijing has additionally required Chinese companies to seek approval to import compliant Nvidia chips. Nvidia did not respond to a request for comment.
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Start your free 14-day trialWho’s affected
- NVDA (Nvidia) — losing share in the world's second-largest AI chip market; China-exposed AI accelerator names (AMD, Broadcom) carry the read-through
- Semiconductor equipment/complex broadly (SOX) — adds to an already-bleak week: fourth straight decline, -7% streak through Oct 12
- Chinese AI-chip suppliers gaining share — Huawei ecosystem, Cambricon (5%), Alibaba's T-Head (7%), Baidu's Kunlunxin (4%), Hygon (3%); nine of the 11 Chinese chipmakers tracked by IDC grew shipments YoY
Sources