TikTok’s dad or mum firm ByteDance has large plans to purchase Nvidia chips in 2025, regardless of US sanctions.
ByteDance plans to spend $7 billion on chips in 2025, The Data reported, citing insiders. If ByteDance follows go well with, it will change into one of many world’s largest house owners of Nvidia chips, regardless of U.S. efforts to dam Chinese language firms from shopping for such U.S. AI chips.
In 2022, the US introduced export restrictions on sure varieties of AI chips, together with to China, the place ByteDance is headquartered. Since then, these restrictions have been tightened a number of occasions.
ByteDance is technically complying with these restrictions by exploiting a loophole: the corporate shouldn’t be transport the chips on to China and is as an alternative storing them in information facilities positioned in different areas equivalent to Southeast Asia, the In response to info reporting. It would not technically violate US sanctions.
ByteDance runs Dobao, China’s “hottest” AI chatbot with 51 million energetic customers, in keeping with the South China Morning Submit.
TechCrunch reached out to ByteDance for extra info.
