China's Huawei Seeks to Chip Away at Silicon Valley's AI Supremacy

Huawei's Ascend line of semiconductors includes a chip that is installed on servers and performs complex AI tasks like programming algorithms, as well as a second chip for more routine functions on smartphones and other devices. With the AI chips, Huawei, the world's biggest maker of telecommunications equipment and a major smartphone vendor, is challenging American companies like Nvidia Corp., Intel Inc. and Qualcomm Inc. The new components align with broader efforts by China to reduce its dependence on advanced U.S. technologies and develop such products domestically. Under Beijing's Made in China 2025 development plan, semiconductors and AI have emerged as key areas that authorities want to develop at home. "Computing power is the foundation of AI," said Eric Xu, Huawei's chairman, at a conference in Shanghai on Wednesday.