A market Nvidia once owned is slipping away fast

Chinese GPU and AI-chipmakers captured roughly 41% of China’s AI accelerator server market in 2025, sharply eroding Nvidia’s prior dominance, the article reports. IDC/Reuters data show Nvidia shipped about 2.2 million cards (≈55% share) in 2025, while Huawei led Chinese vendors with ~812,000 shipments. Beijing’s push to “buy Chinese” and successive U.S. export controls on advanced Nvidia products accelerated the shift. The loss of scale in China — once 20–25% of Nvidia’s data-center revenue and still ~13% of total revenue in fiscal 2025 — poses a meaningful revenue and strategic risk. Nvidia is seeking to regain access (purchase orders, GTC comments) but faces structural challenges as local vendors scale and customers retool around domestic stacks. Market impact: increased competitive pressure on NVDA.OQ and a potentially smaller China revenue base going forward.