Huawei’s Ren Downplays Chip Shortage, Touts AI for Industrial Value
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File photo: Ren Zhengfei. Photo: VCG
Huawei Technologies Co. Ltd. founder Ren Zhengfei has predicted a coming era of surplus processing capacity, challenging global fears of semiconductor scarcity and emphasizing that artificial intelligence (AI) should be valued more for its real-world applications than for theoretical breakthroughs.
Ren predicted an oversupply of computing power, not a shortage in a Nov. 14 meeting with contestants of the International Collegiate Programming Contest (ICPC), according to a transcript released Friday.
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- Huawei founder Ren Zhengfei predicts a future surplus of processing power, challenging fears of semiconductor shortages.
- Ren emphasizes real-world AI applications over theoretical breakthroughs, contrasting China’s practical focus with the U.S.'s pursuit of AGI.
- Huawei plans to release four Ascend AI chips by 2028 to address domestic computing needs, maintaining communications technology as its core business.
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Who’s Who
- Huawei Technologies Co. Ltd.
- Huawei Technologies Co. Ltd., led by founder Ren Zhengfei, anticipates a future surplus in processing capacity, contrasting global concerns over semiconductor shortages. Ren emphasizes AI's role in practical applications for industries like mining and healthcare, rather than just theoretical breakthroughs. Despite U.S. export restrictions, Huawei plans to release four Ascend AI chips by late 2028, aiming to meet China's computing demands. The company's core focus remains on communications technology, which Ren views as crucial for effective AI.
- Nvidia Corp.
- Nvidia Corp. is a company that has been impacted by U.S. export restrictions. These restrictions aim to curb China's technological advancement by blocking the sale of cutting-edge AI chips from companies like Nvidia. Although Nvidia has proposed selling lower-spec alternatives, such as its H20 chips, to China, shipments have not yet resumed.
- Advanced Micro Devices Inc.
- Advanced Micro Devices Inc. (AMD) is mentioned in the context of US export restrictions intended to curb China's technological rise. The US has blocked the sale of cutting-edge AI chips from companies like AMD to China. While AMD has proposed selling lower-spec alternatives, shipments have yet to resume.
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What Happened When
- September 2025：
- Huawei announced plans to roll out four Ascend AI chips over the next three years.
- Nov. 14, 2025：
- Ren Zhengfei predicted an oversupply of computing power, not a shortage, during a meeting with contestants of the International Collegiate Programming Contest (ICPC).
- December 5, 2025：
- Transcript of Ren's Nov. 14 meeting is released, making his remarks public.
- As of December 2025：
- Shipments of lower-spec AI chips (such as Nvidia’s H20 chips) to China have not yet resumed.
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