Nvidia’s share of China’s data-center AI-chip market fell to 34% in the first half of 2026, according to an International Data Corporation report.

Shipments by the US chipmaker fell 44% year on year to 678,000 AI accelerators as US export curbs constrained supply and Chinese rivals gained ground.

Huawei, the Shenzhen-based telecoms and technology company, shipped 572,000 AI accelerators and took 28% of the market.

Beijing has promoted domestic alternatives and requires Chinese companies to seek approval before importing Nvidia chips that comply with US rules.

AI accelerators include graphics processing units and specialised chips such as application-specific integrated circuits and neural processing units.

GPU shipments fell 26% to 991,000 units, while other AI accelerators rose to 1.016 million units and overtook GPUs by volume.

IDC expects total accelerator shipments in China to rise 19% in 2026, even as GPU shipments fall 9%.

Large Chinese tech companies were scrambling to secure Huawei AI chips after DeepSeek V4’s launch, suggesting stronger demand.

🔗 Source: Reuters

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