Nvidia is set to launch a new AI chipset backed by GPU, a part of its latest generation Blackwell-architecture AI processors unit for China, at a significantly lower price compared to its recently restricted H20 model.
Nvidia plans to start the mass production as early as June and price the chips between $6,500 and $8,000, well below the H20 model sold for $10,000-$12,000, according to reports.
The lower prices reflect its weaker specifications and simpler manufacturing requirements. It is expected to be based on Nvidia's RTX Pro 6000D, a server-class graphics processor and will use conventional GDDR7 memory instead of using Taiwan Semiconductor Manufacturing Co's advanced Chip-on-Wafer-on-Substrate (CoWoS) packaging technology.
Nvidia CEO Jensen Huang stated last week,“the company's older Hopper architecture - which the H20 uses - can no longer accommodate further modifications under current U.S. export restrictions.”
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China remains a huge market for Nvidia, accounting for 13 percent of its sales in the past financial year. It is the third time that Nvidia has had to tailor a GPU for the world's second-largest economy after restrictions from U.S. authorities who are keen to stymie Chinese technological development. After the U.S. effectively banned the H20 in April, Nvidia initially considered developing a downgraded version of the H20 for China, but that plan didn't work out.