Featured image: Close-up of a modern microprocessor circuit board with intricate circuitry. Photo by ed br on Pexels (Free to use).
In April 2025, the United States cut off Nvidia’s H20 — the only premium AI chip American companies could still legally sell into China. Sixteen months later, the decision looks less like a surgical strike and more like the single most effective accelerator of China’s domestic AI chip industry since the 2022 controls began. Huawei’s Ascend line scaled from a research curiosity to the default answer for China’s largest cloud providers, SMIC pushed its no-EUV process to 5nm-class, and the country’s chip startups went public in the most extreme IPO run of the decade. The ban did not stop Chinese AI. It industrialized the alternative.