Nvidia CEO Jensen Huang sharply criticizes the United States’ export ban on AI chips to China during Computex 2025. According to Huang, the ban actually undermines the American position and encourages Chinese competitors to develop their own AI hardware that could potentially compete with Nvidia.
In the press interview during Computex 2025, CEO Jensen Huang emphasizes that Nvidia still had a 95 percent market share in China in 2021, when the Biden administration took office. Due to the export ban and sanctions by the US government, that share has since dropped to about 50 percent.
This decline is not the result of a shrinking Chinese market, but rather because Chinese companies, supported by the government, are investing heavily in their own AI chips and technology.
Companies like Huawei, Tencent, and Alibaba are increasingly focusing on locally developed AI hardware. “China realizes that dependence on American technology is risky and is therefore quickly building its own alternatives”, according to Huang. These developments are putting pressure on American dominance.
Export Ban Stimulates Chinese Innovation
Huang calls the American policy “a failure.” He states that the ban on the Nvidia H20 chip, which was specifically designed for China, achieves the opposite of what it intends. Instead of limiting competition, it actually encourages China to develop its own AI technology faster and become self-sufficient. “Blocking faster chips doesn’t help, because everything is scalable.”
“The idea that by restricting technology you can sideline other countries is fundamentally wrong”, according to Huang. “If the US wants to continue to lead, it must ensure the broad and rapid spread of American technology worldwide.” He points to recent policy changes under the previous US administration that already initiated this approach.
Economic Consequences for Nvidia and the US
The export ban not only costs Nvidia market share but also tens of billions of dollars in potential revenue. Huang explains: “We had to write off $5.5 billion in inventory and are missing out on about $15 billion in sales opportunities.” According to him, the Chinese market represents an annual value of $50 billion.
These revenue losses also mean less tax income for the US and fewer jobs in the technology sector. For Huang, the loss of the ecosystem and the scale of the market is the biggest risk, as these contribute to Nvidia’s long-term advantage with technologies like CUDA.
Future of American AI Export Strategy
While Huang says he understands national security concerns, he advocates for a policy revision. He calls on the US government to relax export rules so that American technology becomes more freely available again in international markets, in order to strengthen the competitive position.
“AI is a global revolution”, says Huang. “We shouldn’t lock up American technology, but spread it rapidly. Only then can America maintain its leadership.”
During Computex in Taiwan, Nvidia announced several innovations. The most important is NVLink Fusion which allows you to combine your own chips with third-party CPUs and accelerators. Additionally, Nvidia DGX Cloud Lepton was also unveiled, a marketplace for cloud GPU capacity.
At Computex, Nvidia also presented its new RTX Pro servers focusing on AI workloads. Finally, Nvidia is now integrating CUDA-Q in Japanese supercomputer for quantum research.