ByteDance, Alibaba, and Tencent ordered chips worth over 35 billion dollars from NVIDIA

According to a report by Reuters, on October 20, ByteDance, Alibaba, and Tencent have ordered over 3 million RTX PRO 5500 graphics cards from NVIDIA, with a unit price of approximately $11,400, totaling over $35 billion. Due to U.S. export controls, this chip does not include the advanced Blackwell architecture and is currently the most powerful compliant NVIDIA chip available for purchase in China.

Insiders have indicated that due to demand far exceeding production capacity, NVIDIA has informed partners that it may only be able to fulfill 5% to 10% of orders. Chinese tech companies primarily use this chip for AI inference and post-training model generation. Although its performance is far inferior to the banned B300 and H200 chips, in the context of ongoing computing power shortages and restrictions, the RTX PRO 5500 has become an attractive alternative. Additionally, NVIDIA plans to shift most of TSMC's capacity to the new generation Rubin products starting in 2027. Currently, ByteDance, Alibaba, Tencent, and NVIDIA have not commented on this.