# China spent the last year building an alternative to Nvidia.

*semiconductor · news · 2026-05-14 · The News International*

## Key points

- Tencent and Alibaba are ramping up investment in developing and producing domestic GPU chips.
- Alibaba's T-Head division has reached scaled mass production of proprietary GPUs for its data centers.
- Despite US export bans, the US reportedly approved some Nvidia chip sales to major Chinese firms.
- Chinese hyperscalers are focusing on agentic AI which may exceed current domestic chip capabilities.

**Companies:** Tencent, Alibaba, Moore Threads, MetaX, Huawei
**Countries:** China, United States

[Read the full story on The News International](https://www.thenews.com.pk/latest/1402557-tencent-alibaba-turn-to-local-ai-chips-as-nvidia-uncertainty-grows)

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