Huawei to Provide AI Chips for Baidus Tech Advancements

Huawei to Provide AI Chips for Baidu's Tech Advancements

2023-11-10 13:42:38

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  1. Major Collaboration Aided by Huawei in AI Technology
    1. Huawei Positioned to Thrive Amidst New U.S. Chip Restrictions

Major Collaboration Aided by Huawei in AI Technology

Notably at the forefront of artificial intelligence, Baidu has recently ventured into a notable partnership. Insight reveals that the company secured an AI chip order from Huawei back in August, a strategic move just ahead of new U.S. government sanctions that aimed to tighten chip export rules to China—an action encompassing products from prominent companies like Nvidia.

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Breaking Down Baidu's Strategic AI Chip Acquisition

A procurement of 1,600 Ascend 910B AI chips, developed by Huawei as an alternative to the Nvidia A100 chip, marked a new hardware source for Baidu, designated for 200 servers. Reports underline that more than half of the order was fulfilled by Huawei by October, with around 1,000 chips in Baidu's hands.

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Traditionally, Baidu, along with other Chinese technology giants such as Tencent and Alibaba, sourced their AI chips from Nvidia. This new development indicates a substantial shift in Baidu's procurement strategy, diversifying away from previous suppliers.

Initial Steps Toward a Strategic Partnership

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The partnership trail began in 2020, aiming to ensure compatibility between Baidu's AI platforms and Huawei hardware. To amplify this endeavor, both entities announced efforts to enhance synchronization between Baidu's proprietary Ernie AI model and Huawei's Ascend AI chips in August.

While Baidu has its own portfolio of Kunlun AI chips for large AI computations, the company heavily relied on Nvidia's A100 chips for tasks such as training its Ernie large language model. The introduction of U.S. regulations barring Nvidia from selling specific chips to China has thus influenced Baidu's sourcing alternatives and inspired collaboration with Huawei.

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Huawei Positioned to Thrive Amidst New U.S. Chip Restrictions

Analysts have speculated that the U.S.'s tighter grip on chip exports could present an opportunity for Huawei, given its established presence in the domestic market, despite existing since 2019 under U.S. export controls.

The recent chip order signifies potential growth and technological advancements within Huawei. Amidst a heavy investment by Beijing into the domestic semiconductor industry, Huawei has demonstrated significant advancements, reflecting China's push towards technological independence. The public unveiling of a new smartphone in August armed with internally developed advanced processors exemplifies Huawei's resilience and capability in chip development, in light of the international sanctions it faces.

The resurgence of Huawei is further demonstrated by a reported move in September—a dispatch of Chinese-made processors for surveillance cameras, indicating an expanded recovery in select markets.

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