The founder of Nvidia noted that the $200 billion market valuation for processors includes the Chinese sector.

New Perspective on Nvidia’s CPU Market

The company’s CEO, Jensen Huang, made a bold statement at the beginning of the week: the central processor market is estimated at about $200 billion, and Nvidia intends to capture a significant share of that revenue. In his comment he clarified that this forecast includes potential sales to China.

Why does it matter?

In its quarterly reporting, Nvidia emphasized that Chinese market figures are excluded from GPU calculations. Although shipments of H200 accelerators to the PRC are permitted by U.S. authorities, they are blocked by Chinese customs. Consequently, the company does not receive revenue from those devices, which fall under U.S. export controls.

Huang’s Response to Journalists

During a visit to Taipei, when asked about including the Chinese market in the $200 billion forecast, Jensen replied: “I think so.” He added that Nvidia has U.S. export licenses for H200 shipments to China and would like to serve that market because it is important and large. At present, Nvidia’s CPUs are not prohibited from being supplied to the PRC, so the company could profit from them.

Relations with Taiwan’s Economy

When questioned about AMD’s statements of investing up to $10 billion in Taiwan’s economy, Huang noted that Nvidia had not made similar public statements before but had already invested far more. During his visit he met with TSMC leadership—the primary supplier of AI chips for Nvidia. According to him, the second half of the year will bring a large volume of work for Taiwanese manufacturers due to increased production of components for the new Vera Rubin platform.

Sanctions Evasion Issue

The recent scandal involving Supermicro’s attempts to ship server systems based on Nvidia chips to China without complying with sanctions prompted comments from Huang. He stressed the need for tighter partner oversight over product distribution to prevent such violations in the future.