Name: Chinese AI models adapt without Nvidia
Uploaded: 2026-01-14T20:03:26.870Z
Duration: 2 min 51 s
Description: Chinese AI company Zhipu has unveiled an advanced model reportedly trained solely on Huawei chips, marking a significant move away from dependence on American hardware such as Nvidia.

Chinese AI company Zhipu has unveiled an advanced model reportedly trained solely on Huawei chips, marking a significant move away from dependence on American hardware such as Nvidia.

The release of Open AI's ChatGPT has accelerated the development of artificial intelligence and warnings about its impact on society.

Rise of AI

Chinese AI company Jeepoo has unveiled an advanced model reportedly trained solely on Huawei chips, marking a significant move away from dependence on American hardware such as Nvidia. Backed by Alibaba and Tencent, Jeepoo's announcement coincided with Nvidia receiving approval for China-bound sales, but the development suggests that domestic Chinese hardware is now capable of supporting sophisticated AI models.

Industry analysts note that while Nvidia remains the premium choice for Western markets, Chinese firms are adopting a 'wholesale' strategy focused on volume and affordability. Jeepoo's model, though not matching the top-tier performance of models like Gemini or ChatGPT, is considered 'good enough' for many business applications, potentially reshaping the competitive dynamics in global AI technology.

Chinese AI models adapt without Nvidia

So, Kelly, on the same day that NVIDIA gets the green light for China-bound sales, Chinese AI darling Jeepoo releases an advanced model that it says was trained entirely on Huawei chips. Now, if that claim holds, it breaks the narrative that frontier AI needs American silicon and makes NVIDIA's China comeback look more temporary. So Jeepoo is backed by Alibaba and Tencent, and it just went public in Hong Kong last week. Since then, by publicly crediting Huawei's Ascend chips, they're signaling that domestic hardware can finally do the heavy lifting. To be sure, Jensen Huang, he will still sell chips in China, performances, performances, you and Eunice were talking about. But now NVIDIA looks more like a bridge for the Chinese to buy time for their own domestic chip makers. So NVIDIA and other American advanced chips, nice to have for sure, but less and less a need to have. So China's strategy is volume. Insiders tell me that the U.S. strategy needs to be efficiency. NVIDIA remains the luxury brand for the West and for private markets, anyone basically that can afford those chips and get them. Huawei and friends, they become the utility provider for countries and companies that just need good enough. What Aaron Jin, founder of Hydrohost, that's an AI data center services and management startup, he calls a Costco or wholesale strategy. The idea is that you go to Costco for the flat screen that's one or two generations old. It's not the best, but it's cheap and it's available in bulk. So if you need to light up a wall, you got a hundred of them and you swap out the ones that break. That strategy, this brute force strategy, it makes up for NVIDIA speed and efficiency. And that's the route the Chinese are going until they catch up. I wish we could use them and compare, right? Because if it's true that it's good enough, then the whole AI trade could be called into question, much like we saw with DeepSig last year. But if it's, if it's okay in some instances, but you still want the latest, I mean, look at how Gemini has been able to rise, right? It does that by being better than chat GPT. And so I'd love to know where Shippu falls in that discussion. I mean, the reason Gemini is able to do that too, don't forget that vertical stack advantage, right? It's TPUs. It's model was entirely trained, Gemini 3 trained on TPUs and being served on those TPUs. So where does Shippu stand? I mean, no, it's not anywhere. As a model, it's a good for an open source model, but no, it does not compete with like the best versions of Gemini and chat GPT. But again, it's this idea of being good enough. If you're, let's say like a company that is not using AI to code the most advanced applications, you're a marketing firm that just needs an AI that is really good on reasoning and creating images, which is what Shippu's latest does. Then maybe that's good enough. And then you're going to pay less and it's going to be open source. You can host it on your own servers perhaps. But I still, to me.

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Chinese AI models adapt without Nvidia

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