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Huang de Nvidia on the state of the AI ​​race with China

Daniel White by Daniel White
October 8, 2025
in Local News, Top Stories
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Nvidia CEO Jensen Huang said on Wednesday that the United States was “not far ahead” China in the race for artificial intelligence and that the country needed a “nuanced strategy” to stay on higher ground.

Huang has traveled a tense line between the two countries and praised the Chinese AI models, especially Deepseek, AlibabaAnd Baidu. Although the American models remain more advanced, the Chinese open source models are “well in advance,” said Huang.

The CEO courted China in July with several trips following US restrictions on fleas and warned that Chinese business flea systems like Huawei should not be dismissed.

President Donald Trump spoke with Chinese President Xi Jinping during a call in September and announced his intention to meet them at the APEC summit in South Korea at the end of October.

Here are five key things that Huang said about the AI ​​race on “Squawk Box” from CNBC.

“China is well ahead of us in terms of energy. We are well in advance on the fleas. They are there for the infrastructure. They are there for the models of AI.”

NVIDIA, widely considered the main manufacturer of IA fleas, announced in September its intention to invest up to $ 100 billion in Openai to build AI data centers. However, these significant investments in the computing power require a massive amount of energy, which China far exceeds the United States in terms of production.

China has produced a total of 10,000 terawatt hours, a Watthere Billion, electricity in 2024, more than double American production, according to the Institute of Energy.

“Remember that it is a country that has no shortage of fleas. They have Huawei. They have really, really sophisticated and really entrepreneurial startups that build ia chips.”

While the United States is perhaps at the forefront in terms of advanced flea design, including the Blackwell processor from Nvidia, the Chinese giant of Huawei technology has added pressure with its project to launch its new computer systems to supply its internal fleas ascend next year.

China would have prohibited technological companies from using NVIDIA fleas, rather focusing on the development of national fleas to compete with NVIDIA processors. Alibaba and Baidu would have started using internal designed chips to form AI models.

“Applications in China are progressing incredibly quickly. This is an area that concerns me a lot.”

Huang said that China’s subregation at the industrial level allows the country to adopt “quickly new technologies”.

According to a Directive of the Chinese Council of State, the country aims for the adoption of the AI ​​reaches 70 % of the population by 2027 by integrating various agents and other applications in the main sectors of activity.

“I hope that American companies in American society will quickly adopt AI applications, because in the end, this industrial revolution will prevail in terms of AI applications, in terms of dissemination,” said Huang.

“The Chinese market is vast. They have a billion users, so it is not a market that you could easily decide to move away if your ultimate goal is that America is winning the AI ​​race.”

China holds 50 % of global IA researchers and 30 % of the technological market, said Huang.

The actions of the country have experienced a strong recovery as confidence increases in the progression of its chips and the development of AI. The Chinese market has experienced a huge boom while technological companies saw the course of their actions grow three -digit over the past year.

Alibaba’s shares have increased by almost 180 % since the start of the year, while the electronics giant Xiaomi saw its stocks increase by 125 %.

“We mainly insulate American technology in America and lose and compete with the rest of the world with everyone.”

Huang has underlined the development of the American technological pile to win AI developers and markets on a global scale and warned that the United States would be delayed if American technologies are not allowed to “spread and proliferate worldwide”.

The CEO referred to the comments of the AI ​​advisor to the White House, David Sacks, on the technological landscape in five years.

“If America, the American technological battery, represents 80 % of the world, then we do a good job by winning the AI ​​race. If the United States represents 20 % of the world, then we have lost the race for AI,” said Huang.

Huang also referred to companies like Azure, CoreweaveAnd Anthropic has as playing a key role in the revolution of the whole technological pile.

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