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Jensen Huang Confirms NVIDIA Will Build Groq AI Chips for Chinese Market After $17B Deal

NVIDIA Restarts H200 Production, Prepares Groq Chips for China Rollout

Written By : Poulami Saha
Reviewed By : Radhika Rajeev

NVIDIA is a leading technology company that continually enhances its AI infrastructure and applies these advancements in business. Jensen Huang’s company is currently developing a new version of Groq artificial intelligence chips. The company aims to sell these newly created chips in the Chinese market. 

NVIDIA Brings New AI Chips

Last year, NVIDIA licensed the technology from Groq, an AI chip startup. This collaboration was established in a $17 billion deal. In line with this deal, Jensen Huang showed a new lineup of products based on the Groq AI chips. The announcement about the product launch took place in NVIDIA’s annual developer conference in San Jose, California. 

The new initiative to develop a version of the Groq AI chips for the Chinese market comes after Jensen Huang, CEO of NVIDIA, made the latest announcement. During the conference, he said that the ​tech company has ​restarted production of its H200 chips. This set of chips was the ⁠predecessor to NVIDIA’s current flagship chip. This was before getting export licenses from Trump’s administration in the US and purchase orders from Chinese customers.

NVIDIA’s Future Plans

NVIDIA plans to explore the Groq AI chip's inference capabilities. This is a capability of AI systems: they can answer questions, write code, and carry out tasks. This week, during the conference, the AI company also showcased other products. NVIDIA showed that it plans to use its forthcoming Vera Rubin chips alongside Groq chips, though the former cannot be marketed in China. 

Looking forward, Huang ​also highlighted the change in his speech at the developer conference on Monday, 16 March 2026. He explained, “The inference inflection has arrived. And demand just keeps on going up.”  He also explained that the revenue opportunity for NVIDIA AI chips could reach ​at least $1 trillion by 2027.

Also read: NVIDIA GTC 2026 Live Updates: Jensen Huang Keynote, AI Chips, Agentic AI Announcements Expected

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