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[QUOTE="Munyaradzi Mafaro, post: 35163, member: 636"]
Chinese tech companies saw US restrictions coming on NVIDIA H20 chips. Companies like ByteDance placed huge orders worth over $12 billion before the April sanctions hit. Major firms, such as Tencent, Alibaba, and ByteDance, attempted to order one million H20 GPUs together. These chips arrived in China before the supply was cut off this month. The shortage signs started appearing in March when server companies warned customers about limited availability.

Chinese tech giant Huawei can make about 750,000 of its Ascend A10C AI chips. This helped China build up a large supply of processors before restrictions took effect. Many orders were shipped, but not all companies got their full requests. The plan to store a year's worth of AI chips did not completely work out. Some Chinese businesses attempted to purchase through global subsidiaries rather than making direct purchases.

Taiwanese chip maker TSMC collaborates with US officials to identify suspicious orders from China. Huawei already had materials for up to one million Ascend 910C AI chips before the 2020 sanctions were imposed. Their manufacturing process lags behind TSMC's, which uses advanced tools that China cannot access.
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