China Nvidia Cambricon Poster

Cambricon’s semiconductor company has made a standard profit in the first half of the year, confirming how this Nafidia They gain traction as Beijing looks to strengthen its local industry.

Cambricon is among a large number of companies in China That is competing to be a substitute for the American giant NVIDIA when it comes to providing the required chips to train and operate artificial intelligence applications and models.

In the first half of the year, Cambricon said that the revenues increased by more than 4000 % year on an annual basis to 2.88 billion Chinese yuan (402.7 million dollars) and net profit recorded 1.04 billion yuan. The numbers remain small when compared to NVIDIA I mentioned 44 billion dollars in revenue In the quarter of February to April. The technology giant is decided to report The profits of the second fiscal quarter Later in the day.

However, the high revenue of Cambricon highlights how technology companies in China search for possible alternatives to NVIDIA, given the constant threat that it can be cut off from American technology.

It was Nafidia It was banned earlier this year From the sale of the H20 Pered Back to China. Since then it was allowed to resume exports to China, but must be shared 15 % of its revenues From sales to the country with the US government.

At the same time, China has It is said that he was inhibited Local companies to buy NVIDIA H20 chips.

Chinese technology giants Local chips have been used In addition to NVIDIA devices that enable their hands, which help companies like Cambricon.

Cambricon shares have multiplied more than twice this year and added $ 40 billion north to the market value, according to the S&P Capital IQ. The total value of the company is about 80 billion dollars.

NVIDIA’s strength was not only in its devices, but also in its programs that developers used to use. Cambricon said on Wednesday that it also improves its show display and works on the next generation devices.

However, the Chinese NVIDIA competitors face many obstacles when it comes to overcoming competition. Their technology is still late than NVIDIA while the long -term look looks more difficult due to the export cuts China is one of the most advanced chip making techniquesProhibiting progress in the efforts of the artificial intelligence chip in China.