ByteDance Eyes Nvidia AI Chips for Overseas Use
ByteDance Eyes Nvidia AI Chips for Overseas Use

ByteDance Eyes Nvidia AI Chips for Overseas Use

lucadelladora – ByteDance is reportedly finding a way to access NVIDIA’s latest AI chips despite US export restrictions. The company is working with Aolani Cloud to build advanced computing systems in Malaysia.

According to a report by The Wall Street Journal, the project involves NVIDIA’s Blackwell-based B200 processors. These chips are among the most powerful AI accelerators currently available.

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The planned infrastructure could provide ByteDance with access to around 36,000 B200 chips. The total investment for the project is estimated to exceed $2.5 billion.

The setup allows ByteDance to conduct AI research and development outside China. This approach helps the company navigate restrictions tied to US export controls.

The B200 chips are designed in the United States and are restricted from direct export to China. As a result, companies are exploring alternative deployment strategies.

Aolani Cloud, a Singapore-based firm, will reportedly handle procurement and operations. The infrastructure will be located in Malaysia, outside restricted regions.

An NVIDIA spokesperson stated that export rules permit cloud systems to operate outside controlled countries. The company also noted that all cloud partners undergo review before approval.

This arrangement reflects a broader trend in global AI infrastructure. Firms are adapting to regulatory environments by shifting operations geographically.

$2.5 Billion Investment Highlights Growing AI Demand Amid Export Controls

ByteDance’s planned investment significantly exceeds Aolani Cloud’s current infrastructure. The company reportedly operates hardware valued at around $100 million.

The new funding would dramatically expand Aolani’s capacity. It also positions the firm as a major cloud provider in the region.

A representative from Aolani Cloud stated that the company complies with all export regulations. ByteDance is expected to be one of several clients using its services.

The firm plans to offer cloud computing solutions across Asia and globally. This suggests broader commercial use beyond a single customer.

Meanwhile, US authorities have allowed limited access to NVIDIA’s H200 chips for ByteDance. However, these chips face a 25 percent tariff.

Additional conditions include a Know-Your-Customer requirement. This measure aims to prevent access by entities linked to China’s military.

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NVIDIA has not yet agreed to these specific terms. The situation highlights ongoing tension between regulation and technological demand.

The use of overseas cloud infrastructure provides a workaround within legal frameworks. It demonstrates how companies adapt to maintain access to advanced computing.

As global AI competition intensifies, access to high-performance chips remains critical. ByteDance’s strategy reflects the growing importance of infrastructure in AI development.