NVIDIA Falls, Cambricon Rises? — From Monopoly to a New Era of AI Chip Competition ⚡

The AI chip world is witnessing a dramatic shift.
Once the undisputed global leader, NVIDIA has seen its dominance in China collapse — while domestic champion Cambricon is seizing the moment and thriving.

💥 From 95% to 0%: NVIDIA’s “Zero Moment”

At the Citadel Securities Global Markets Future Conference in New York on October 6, 2025, NVIDIA founder Jensen Huang admitted that due to U.S. export restrictions, the company’s AI chip market share in China has fallen from 95% to 0%.
That single statement marked the end of an era.

Over the past two years, Huang fought hard to stay in China’s booming AI market — launching adjusted versions like A800, H800, and even the heavily downgraded H20 after the A100 and H100 were banned.
He visited China multiple times, meeting partners and government officials, emphasizing that “China is an irreplaceable market.”
But now, the curtain has fallen.

🚀 Cambricon’s Meteoric Rise: Filling the Void

Just 11 days later, Cambricon (688256.SH) released its Q3 report — and the numbers were astonishing:
Revenue reached 1.727 billion yuan, up 1,332% year-on-year, with a net profit of 567 million yuan, compared to a 194 million yuan loss a year earlier.

From January to September 2025, total revenue soared 2,386% to 4.607 billion yuan, with profits flipping from losses to 1.605 billion yuan.
Cambricon’s stock even temporarily surpassed Kweichow Moutai, becoming the most expensive stock on the A-share market.

🧠 The Shift: From “Training” to “Inference”

AI model development has two key phases — training (requiring maximum compute power) and inference (where trained models serve real-world applications).
As “inference” demand skyrockets, China’s domestic chips — cheaper and locally optimized — are rising to prominence.

🌍 The New Order: Many Players, One Goal

Cambricon isn’t alone.
Huawei’s Ascend chips are rapidly gaining ground.
AMD’s MI300 series is also joining the fray.
The once one-sided AI chip market has entered a new age of competition — vibrant, diversified, and full of potential.

Conclusion:
Where NVIDIA stumbled, China’s AI chipmakers are racing ahead.
The monopoly has fallen, and a new multi-player AI era has begun.