Published October 27, 2026.
China’s largest technology companies have placed orders worth more than $35 billion for Nvidia graphics cards, according to exclusive reporting from Reuters summarized by Tech Startups. ByteDance, Alibaba, and Tencent reportedly ordered the company’s RTX PRO 5500 cards even as U.S. export restrictions on advanced AI chips remain in place. The story highlights the ongoing tension between Nvidia chip exports, U.S. national security policy, and demand for AI computing power.
What was reported
According to the Reuters report, the three companies have collectively ordered more than $35 billion of the RTX PRO 5500, a professional graphics card. The same roundup noted that Nvidia is expanding beyond GPUs, with AI cloud startup Modal becoming an early customer for its Vera processors.
How U.S. export controls work
The U.S. Commerce Department restricts sales of the most advanced AI chips and chipmaking equipment to China, citing national security concerns. Companies like Nvidia typically design products that meet the thresholds the rules set, and sales depend on licenses and on how regulators classify each product. Because the rules cover specific performance levels, a product that is permitted today may be restricted if the thresholds change. We have not independently confirmed the order details or the regulatory status of this particular card, and Nvidia’s own statements should be consulted for its position.
Why it matters
- AI development: Access to computing power is a key constraint for training and running advanced AI models.
- Policy debate: Supporters of tighter controls argue they slow military and surveillance applications. Critics argue restrictions push customers toward domestic Chinese alternatives and hurt U.S. company revenue.
- Federal networks: The same roundup reported that Washington is ordering Chinese AI tools off civilian federal networks, another sign of tightening technology competition.
What to watch
Watch for official comments from Nvidia and the Commerce Department, any change to license rules, and whether Chinese companies receive the shipments. For broader context on how this week’s politics are shaping policy, see our guide to what is at stake in the 2026 midterms.
