India, Dec. 12 -- The U.S. government's approval for Nvidia to export the H200 to China has shifted market expectations. TrendForce highlights that the H200 offers a significant performance boost compared to the H20, making it very attractive to Chinese end users. If sales go well in 2026, China's CSPs and leading OEMs are likely to acquire chips aggressively.

TrendForce notes that while the H200 lags behind Nvidia's Blackwell-series GPUs in terms of compute and memory specs, it still surpasses China's domestically produced AI chips and the H20. Development among Chinese AI chip makers and CSP-designed ASICs continues to be limited by upstream bottlenecks, such as restricted wafer capacity and HBM access, which hinder progress.

As such,...