Nvidia is preparing a modified version of its new flagship AI chip, tailored specifically for the Chinese market.

According to Reuters' sources familiar with the matter revealed that the company's new "Blackwell" chip series, which includes the high-performance B200 model, will soon have a China-compatible variant tentatively named the "B20."

The B200 chip, released by Nvidia in March, boasts massive advancements over its predecessor, including up to 30 times the speed for certain tasks such as chatbot responses. The company plans to collaborate with Inspur, a major distributor in China, to launch and distribute the B20 model. Shipments of this chip are expected to commence in the second quarter of 2025, according to sources who requested anonymity.

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Nvidia in Chinese Market After U.S Export Controls

The move comes as Nvidia seeks to circumvent U.S. export controls imposed on advanced semiconductors to China, which was aimed at limiting China's supercomputing capabilities that could benefit military advancements.

Despite an initial slow start for Nvidia's H20 chip in China and recent boycott calls, sales are now increasing, with the company projected to sell over 1 million units this year, generating around $12 billion in revenue.

Currently, the U.S. government's ongoing pressure on semiconductor exports and potential new regulations, such as the foreign direct product rule, could impact global chip stocks and further restrict American technology's availability to China. 

At the same time, companies like Nvidia is seeking ways to further innovate their own products to access key markets to maintain their revenue.

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