The scarcity of AI chips, largely dominated by Nvidia with an 80% global market share, has been a concern for AI companies. This has led to companies either stockpiling chips, repurposing Nvidia gaming chips, or resorting to the black market. Meanwhile, China, being the world's largest producer of AI research, has become the first major market economy to regulate AI, adding necessary context around the underlying structures and technical feasibility of different regulatory approaches.
Key takeaways:
- China is reportedly offering 'computing vouchers' to AI startups to help them compete with tech giants and cover increasing data center costs.
- These vouchers are worth between $140,000 and $280,000 and can be used in AI data centers where companies can train and run large language models.
- The move comes after internet companies with cloud computing services voided their contracts due to tougher measures in the U.S., leading them to reserve most of the AI processors for in-house use and key clients.
- China's role as the first major market economy to regulate AI, being the world's largest producer of AI research, adds necessary context around the underlying structures and technical feasibility of different regulatory approaches.