Chinese GPU Makers Grasp 41% of China’s AI Market as Nvidia Stock Slumps
Chinese GPU and AI chip makers shipped 1.65 million accelerator cards, grabbing 41% of China’s AI server market and cutting Nvidia’s share to 55% with 2.2 million units. Nvidia’s stock has fallen for two straight quarters, a rare event that historically precedes a rebound but heightens investor concerns.
1. Chinese Vendors Erode Nvidia’s Market Dominance
In 2025 Chinese GPU and AI chip makers collectively shipped 1.65 million AI accelerator cards, accounting for 41% of China’s AI server market. Nvidia’s shipments totaled 2.2 million units for a 55% share, while Huawei led domestic vendors with 812,000 cards followed by Alibaba’s T-Head at 265,000 and Baidu’s Kunlunxin and Cambricon at 116,000 each.
2. Nvidia Stock Posts Rare Two-Quarter Decline
Nvidia’s stock has declined over two consecutive quarters, a rarity for the company, reflecting investor concerns about intensifying competition and potential revenue headwinds. Historically, similar streaks have preceded strong rebounds, but this slump underscores market anxiety over Nvidia’s ability to defend its market position and sustain growth.