Huawei is stepping up its game with the Ascend 910C chip, a competitor to Nvidia’s AI processors. These chips are not just any tech—they represent the cutting edge of artificial technology that powers everything from autonomous vehicles to advanced AI systems.
But producing these chips isn’t smooth sailing. The U.S. has imposed strict curbs on companies involved in artificial intelligence from China, barring them from accessing the advanced tools they need. Specifically, the restrictions limit Huawei’s ability to use extreme ultraviolet lithography (EUV) machines, essential for manufacturing advanced semiconductors.
The global AI race is in full swing, and AI solution companies like Huawei are keen on dominating the field.
The Challenges of Manufacturing AI Chips
Here’s where things get tricky. Manufacturing advanced AI chips isn’t just about having a great design. It’s about ensuring that a high percentage of chips produced (called the "yield") are functional. Right now, the manufacturing and AI game is tough for Huawei:
- Their current Ascend 910B chip, also made by SMIC, has a yield of only about 50%.
- The newer 910C’s yield is even lower, at 20%.
For context, ai for manufacturing industry standards require a yield of at least 70% for chips to be commercially viable.
The Bigger Picture: AI, Trade Wars, and Industry Impact
This isn’t just about Huawei—it’s about the impact of artificial intelligence on the global economy and the intense competition between nations. As the biggest AI companies in the world push boundaries, the U.S.-China trade war highlights how critical AI technology is to national security and economic growth.
Who Benefits From AI Advancements?
For businesses, the potential is huge. Imagine using artificial intelligence to optimize production, reduce waste, and innovate faster. Whether you’re looking to implement AI for your business or exploring opportunities to invest in AI technology, these advancements promise transformative benefits.
What’s Next for AI in the Manufacturing Industry?
While Huawei faces hurdles, its determination to lead in artificial intelligence in industry is undeniable. The company is prioritising strategic government and corporate orders, ensuring its chips remain in play despite challenges. For the rest of the world, this raises questions about how artificial intelligence and innovation will evolve amid global tensions.
Related: Applications of AI in Manufacturing
Why Should You Care?
The AI race isn’t just a tech story—it’s a human story. It’s about innovation, competition, and the promise of a smarter future. Whether you’re a tech enthusiast, a business owner, or someone curious about AI technology, this is a space to watch. And if you're intrigued by artificial intelligence by Elon Musk or looking to invest in artificial intelligence stocks, now might be the time to dive deeper.
