Nvidia’s China AI Chip Share Fell to 34% in First Half

Nvidia’s share of China’s data-centre AI accelerator market fell to 34% in the first half of 2026, as shipments dropped and domestic chipmakers, led by Huawei, expanded their presence, according to IDC data reviewed by Reuters. Nvidia shipped 678,000 AI accelerators in mainland China from January through June, down 44% from the same period a year earlier. Huawei shipped 572,000, up from more than 300,000 in the first half of 2025, and captured 28% of the market, IDC’s figures showed. Other Chinese suppliers also gained ground. Alibaba’s T-Head held 7% of the market, Cambricon had 5%, Baidu’s Kunlunxin 4% and Hygon 3%. Nine of the 11 Chinese chipmakers tracked by IDC increased shipments year over year. China received 2.008 million AI accelerators in the first half. Shipments of graphics processing units, or GPUs, fell 26% to 991,000, while shipments of non-GPU accelerators rose nearly 80% to 1.016 million, putting them ahead of GPUs by volume. The non-GPU category includes processors designed for specific tasks, such as running models that have already been trained. Huawei, T-Head, Kunlunxin and Cambricon together accounted for 95% of that non-GPU segment.