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ByteDance, Alibaba, and Tencent Place $35 Billion Order for NVIDIA Graphics Cards
ByteDance, Alibaba, and Tencent have collectively ordered over 3 million RTX PRO 5500 graphics cards from NVIDIA, amounting to more than $35 billion. Each unit is priced at approximately $11,400. This order comes in light of U.S. export controls that prevent the sale of NVIDIA's advanced Blackwell architecture chips, making the RTX PRO 5500 the most powerful compliant chip available for purchase in China.
The demand for these graphics cards significantly exceeds NVIDIA's production capacity, with insiders reporting that the company may only be able to fulfill 5% to 10% of the orders. Chinese technology firms are primarily utilizing the RTX PRO 5500 for artificial intelligence inference and post-training model generation, despite its performance being inferior to the banned B300 and H200 chips.
As the global computing power landscape faces shortages and restrictions, the RTX PRO 5500 has emerged as a viable alternative for these companies. Furthermore, NVIDIA is expected to transition most of TSMC's manufacturing capacity to new generation Rubin products starting in 2027. As of now, ByteDance, Alibaba, Tencent, and NVIDIA have not provided any comments regarding this substantial order.
Source: KLEA News