China’s biggest smartphone maker is prioritizing AI instead

China’s biggest smartphone maker is prioritizing AI instead

Image: Jason Lee (Reuters)

Huaweiamong the greatest phone makers on the planet, is apparently focusing on making AI chips, and decreasing production for the chips required to power the most recent Mate 60 phonesindividuals knowledgeable about the matter informed Reuters.

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The business utilizes one factory to produce both its Ascend AI chips and the Kirin chips, Reuters reported, and the center has actually had low production. Quartz connected for remark.

Following the United States’s most current AI chip constraints to China in October 2023, Chinese AI business have actually been having a difficult time sourcing the needed chip elements for their own AI items. US-based Nvidia comprised 90% of the AI Chinese chip sales market, according to Reuters. Chinese business are looking for domestic chip options to power their own generative AI items, and the Ascend 910B is thought about the most competitive non-Nvidia AI chip readily available in China.

China is likewise in a worldwide race for AI supremacy. Considering that the release of ChatGPT in November 2022, Chinese tech giants like Baidu have actually rushed to make AI chatbots that equal United States equivalents.

What does that mean for Huawei’s phones?

It’s unclear what the production modifications suggest for the business’s smart device service. In the very first 2 weeks of the year, Huawei topped China’s mobile phone sales, according to a report by research study company Counterpoint, as mentioned by South China Morning PostThe revival was supposedly driven by the release of its Mate 60 Pro 5G smart device.

Buyers have actually suffered months-long waiting times for pre-orders of Mate 60 phones to be satisfied.

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