Nvidia CEO Warns US Chip Bans May Boost Huawei's AI Dominance

- Nvidia CEO warns US chip bans may elevate Huawei's global AI standing. - Huang on dangers of China's exclusion and Europe's AI potential. On June 12, 2025, CNBC reported that Nvidia CEO Jensen Huang, speaking at Paris’s Viva Technology conference, warned U.S. AI chip bans might empower Huawei to dominate globally, a development that could shift the balance of power in the AI industry. Huang asserted Nvidia's technology currently leads by about a generation; however, he cautioned these chip bans might push Beijing to boost domestic champions like Huawei. According to the CNBC report, on June 12 at the Paris’s Viva Technology conference, Nvidia CEO Jensen Huang stated, "Huawei has got China covered, and Huawei has got everybody else covered" if American companies do not engage with Chinese customers. He suggested this scenario could lead to Huawei dominating its large domestic market and, furthermore, presenting significant competition to U.S. firms globally. Huang further urged the global AI community to build upon American technology infrastructure, advising against relying on a potentially limited Chinese model. He stressed that excluding a significant portion of the world's AI researchers from U.S. platforms is counterproductive because this exclusion hinders innovation, which relies on collaboration and shared standards. In addition, Huang expressed concern that isolating Chinese developers with their own hardware and software could enable China’s ecosystem to prevail due to its large scale. Moreover, Huang highlighted Europe’s potential to emerge as a major, independent AI market, praising France's capacity to "export AI" and suggesting the European Union also possesses the necessary components to develop a robust AI industry. This view aligns with Nvidia's recent announcements, which detail new partnerships and AI factory initiatives in Europe. These statements from the conference reflect Huang's earlier concerns about U.S. export controls. Previously, he has described these controls as potentially accelerating Chinese technological development while also warning they could impair U.S. leadership in the sector. Meanwhile, CoinMarketCap reported on June 12 that Ethereum (ETH) was trading at $3,214 as of 12:00 UTC. Its 24-hour trading volume had increased by 2.3%.