Jensen Huang, the CEO of the world's No. 1 semiconductor corporations Nvidia, said on the 5th (local time) that China will overtake the United States and Europe in the AI race on the back of low energy expense and flexible regulation. As a key figure holding the direction of the U.S.-China contest for technological supremacy publicly declared "China's AI victory," significant shockwaves are expected in Silicon Valley and Washington politics.
On the 5th in London, Jensen Huang said at the "Future of AI Summit" hosted by the Financial Times (FT) that "China is going to win the AI race."
Jensen Huang analyzed that China is immersing itself in the AI industry with two cards: dramatic expense cuts and swift, efficient regulation. According to FT, referring to data centers that train and run large AI models, Jensen Huang said, "China is using much lower energy expense (than the West) as a weapon."
By contrast, he unleashed strong criticism of the United States, the United Kingdom, and other Western blocs. He pointed out that the West is trapped in "cynicism" that highlights risks over the potential of AI technology. The claim is that in the process of overemphasizing discussions on AI safety, ethics, and potential threats, the pace of technological progress is slowing. Jensen Huang said, "We (the West) need more optimism."
Jensen Huang's remarks this time squarely reflect the "political and economic dilemma" facing Nvidia. Nvidia is a monopolistic corporations that controls more than 80% of the current AI chip market. However, access to the largest market, China, has been effectively blocked by tough export controls led by the Trump administration.
The remarks came right after U.S. President Donald Trump and Chinese President Xi Jinping held a summit. Initially, President Trump hinted he could discuss the sale of Nvidia's latest AI chip "Blackwell" with President Xi. But according to major outlets, the issue of Nvidia's chips ultimately was not discussed at the summit.
Currently, Nvidia and its competitor AMD have agreed to pay 15% of sales of lower-performance AI chips made specifically for the Chinese market to the U.S. government. FT reported, "Even this has effectively halted sales, as the U.S. government is delaying the adoption of related rules."