February 28, 2026 – The ongoing AI race has emerged as the most pivotal technological revolution of our era, with the United States treating it as a critical strategic asset to maintain its global edge. Yet, American firms are finding themselves in a heated competition with their Chinese counterparts, especially in the realm of open-source AI, where China is rapidly gaining ground.
How does NVIDIA, a key player in the AI computing landscape, view this intensifying rivalry between the U.S. and China? During a recent earnings call, CFO Colette Kress addressed the topic, acknowledging that recent IPOs by Chinese AI companies have significantly bolstered their capabilities, potentially reshaping the global AI industry over the long term.
To safeguard its leadership in AI computing, Kress emphasized the need for the U.S. to attract developers worldwide and position itself as the go-to platform for businesses globally, including those in China. NVIDIA, she noted, will continue engaging with both U.S. and Chinese governments to advocate for policies that sustain America’s competitive advantage in the global market.
Kress’s remarks struck a relatively neutral tone, recognizing the rising influence of Chinese AI firms as a legitimate factor in the evolving industry landscape. This stance aligns closely with comments previously made by NVIDIA CEO Jensen Huang, who has expressed admiration for China’s AI advancements—a sentiment that once sparked speculation about China potentially “winning” the AI race.
However, beneath NVIDIA’s seemingly balanced perspective lies a clear strategic motive: leveraging China’s AI progress and competitive pressure to urge U.S. authorities to ease restrictions on chip exports, particularly for older-generation models like the H200. NVIDIA understands that the issue extends beyond immediate profits; the company aims to ensure that Chinese enterprises remain reliant on U.S. technology, including both chips and the critical CUDA platform, rather than being pushed to develop indigenous AI solutions that could one day rival—or even surpass—American innovations and erode U.S. market share.
