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China’s Tech Giants Secretly Beat US Chip Bans with ByteDance


China’s tech giants are surviving US chip bans by quietly sourcing GPUs from ByteDance’s $13.7B stockpile.

ByteDance's substantial chip stockpile underscores a secret collaboration among Chinese tech giants, including Tencent and Alibaba, to navigate US export bans affecting semiconductors. This emerging internal chip economy and enhanced domestic innovation reflect a strategic shift for China, focusing on self-sufficiency in AI and advanced computing against Western restrictions. Facing escalating export controls, China’s technology leaders are moving beyond traditional competition — quietly collaborating to ensure survival and maintain momentum in AI and advanced computing.

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