ByteDance has decided to help accelerate the growth of China’s AI chip industry by expanding its AI infrastructure. The move will mainly benefit the second-tier semiconductor firms in the countries to grow and build their own empire over the US-based technological solutions.
A new report revealed that ByteDance is planning to expand its investment in AI, which will contribute to China’s chip industry and at the same time, fill Nvidia’s void.
Due to constant adjustments in US chip export regulations, China decided to keep Nvidia out of its chipset market. Another reason behind this decision is security issues.
To help out in the current scenario, ByteDance is coming up with a bigger AI goal – expansion of its AI infrastructure and opening new opportunities for small and medium-sized Chinese AI semiconductor startups.
ByteDance is further planning to use more Chinese chipsets in its cloud AI workloads. The supplier list includes Ilubata CoreX, Virun Technology, MetaX, Moores Thread Technology, and EnFlame Technology.
All the mentioned firms count in the second-tier AI chip groups – smaller in scale and market position than Huawei and Cambricon. The TikTok parent even reportedly purchased tens of thousands of AI processors from Ilubata.
ZICC Analyst – Alex Zhang said:
“Among the top four or five companies, Ilubata appears to be making the smoothest and fastest progress. It is capable of product delivery and verifications, and is at a level where it can compete with Cambricon products.”
Just like Huawei and Cambricon, more firms are now focusing on Application-Specific Integrated Circuits (ASICs), which optimize specific AI computations.
China has started taking huge strides in the technology field. With constant efforts and self-developed solutions, it may soon phase out US-based tech solutions.
