Chinese firms buy more than 1 million Nvidia GPUs for AI work
The purchases point to a continuing shortage in China, where domestic output still falls well short of AI chip demand.
Chinese tech firms have reportedly bought over 1 million Nvidia gaming and workstation GPUs in a year to cover AI compute shortages, showing that U.S. hardware still fills a big gap even as China expands domestic chip output. Financial Times says domestic production is expected to reach 3.5 million chips this year, while demand is above 5 million, leaving a shortfall of nearly 1.5 million. The GPUs being purchased are said to be mainly RTX Pro 6000D, RTX Pro 5000, and RTX 5090 cards, which are being used for simpler AI tasks such as prefilling rather than competing with Huawei’s top chips. The surge in demand has also made the RTX 5090 harder to find and far more expensive, with Tom's Hardware saying its $1,999 MSRP has been eclipsed by a market price of at least $7,199 at a few resellers.
Why it matters
The buying spree shows Chinese companies still need U.S. Nvidia hardware for simpler AI work even as local chip production rises. That means the gap between supply and demand is still shaping which systems firms can run and what hardware remains available. It also helps explain why the RTX 5090 has become scarce and far more expensive for buyers in the market.
Keep or strike?
Does this story matter, or is it hype? Mark it before you see what everyone else did.
Sources
- Tom's Hardware