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Chinese domestic AI accelerators reportedly projected to supply 90% of domestic market in 2026
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TrendForce projects Chinese domestic AI accelerators will capture nearly 90% of China's market in 2026, up from 45% last year, with Huawei and Cambricon positioned as primary beneficiaries of the shift away from Nvidia and AMD.
Engineers building AI infrastructure in China will increasingly deploy domestic accelerators from Huawei and Cambricon rather than Nvidia or AMD hardware. The shift requires adapting workloads and toolchains to domestic GPU ecosystems and proprietary ASICs from major CSPs as CUDA dependency decreases.
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Nvidia's share of China's AI accelerator market dropped from 66% in 2024 to 40% in 2025 and is projected to fall to 8% in 2026.
China is adopting a dual-track strategy combining domestic GPUs from Huawei and Cambricon with custom ASICs from Alibaba, Baidu, ByteDance, and Tencent.
TrendForce revised its December 2025 outlook from 50% domestic share to nearly 90% for 2026, requiring a 2.2X increase in domestic accelerator output in one year.
THE CLUSTER