China Develops Indigenous AI Chips... Moves to Strictly Limit Tech Leaks, Defying US Controls

China is building a technological 'barrier' to counter U.S. AI controls. The current AI competition between the U.S. and China is unfolding across all sectors, including semiconductors, equipment, data, talent, and export controls.

Chinese companies are accelerating their survival strategies to lower their dependence on Nvidia. AI firms like DeepSeek are attracting trillions of won in investment and doubling their workforce to speed up proprietary chip development. Huawei plans to unveil its next-generation AI computing system, 'Atlas 950,' at the Shanghai World Artificial Intelligence Conference next week, while increasing the share of Chinese products in AI infrastructure such as semiconductors and servers.

Chinese authorities are reviewing measures to restrict overseas access to domestic cutting-edge AI models, such as those from DeepSeek and Moonshot AI. Chinese President Xi Jinping emphasized the alignment of technology development with control systems at a scientists' conference, calling for talent development, research funding management, and strengthened AI security.