China’s tech giants move AI model training overseas to access Nvidia chips: report

Alibaba and ByteDance are among the tech firms training their newest large language models in South-east Asian data centres

Top Chinese firms are training their artificial intelligence models abroad to access Nvidia’s chips and avoid US measures aimed at curbing their progress in advanced technology, Financial Times reported on Thursday (Nov 27).

Alibaba and ByteDance are among the tech firms training their newest large language models in South-east Asian data centres, the report said, citing two people with direct knowledge of the matter.

Reuters could not immediately verify the report. Nvidia declined to comment on the report.

According to the report, there has been a steady increase in training in offshore locations after US moved to restrict sales of the H20 chip in April.

Chinese companies rely on lease agreements for overseas data centres owned and operated by non-Chinese entities, the newspaper said, noting that DeepSeek, which gathered a large stock of Nvidia chips before the US export bans, was an exception with its model being trained domestically.

Deepseek is also collaborating with domestic chip manufacturers led by Huawei, to optimise and develop the next generation of Chinese AI chips, FT added.

Alibaba, ByteDance, DeepSeek and Huawei did not respond to requests for comment. REUTERS

Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.