Nvidia has once again included Huawei in its list of strongest chip competitors. A senior executive of the company revealed on Wednesday how he views the company's position in the Chinese AI semiconductor market when sharing its quarterly outlook.

Nvidia's annual report shows that Huawei has become one of the strongest competitors on the company's latest competitor list, thanks to its sustained growth in the AI chip industry.

This is the second time that this American chip manufacturer has listed Huawei as a strong competitor. Last year, Nvidia CEO Huang Renxun stated that Huawei is a strong competitor in the competition to produce the best AI processors. [Click here to read the full text]

Nvidia now points out that no matter how restrictive the United States is, Huawei is facing increasingly fierce competition in four out of five areas. These four areas are chips, cloud services, computing, and network products.

The competition in the Chinese market is quite fierce. Huawei and other companies... the competition is very fierce, "said Huang Renxun, CEO of Nvidia.

Jensen added that despite being sanctioned by the United States, Huawei's chip manufacturing capabilities have improved. Due to the ban on advanced 5G chips and other technologies, this Chinese OEM has struggled for 5 years. Later, it chose self-reliance instead of relying on the United States.

It seems that Huawei is returning to the market with improved Kirin 5G and Ascend AI chips. After establishing a foothold in China, the company's current goal is to return to the global smartphone market with its independently developed processors.

Huawei currently plans to increase its AI chip production this year. The company may produce 100000 910C and 300000 910B processors to replace Nvidia in China.

The 910C is able to unleash 60% of Nvidia H100's performance, which seems to bring new hope for Huawei in the Chinese AI industry and put Nvidia in a difficult situation.