Nvidia (NASDAQ:NVDA), currently sporting a consensus price target of $675 according to FMP’s Price Target Summary API, is set to roll out a new China?specific Blackwell GPU by June, priced at $6,500–$8,000, undercutting its restricted H20 chip (formerly $10,000–$12,000). The pared?down processor uses conventional GDDR7 memory and simpler manufacturing—complying with U.S. export controls that bar high?bandwidth memory exports.
What’s Changing in Nvidia’s China Strategy

Simplified Specs: The new GPU omits HBM modules and advanced chip?on?wafer?on?substrate packaging, trading peak performance for compliance and cost efficiency.

Aggressive Pricing: At up to 35% below the H20, it targets China’s hyperscalers and research labs, preserving market share amid tighter export rules.

Why It Matters for Nvidia and China Customers

Market Continuity: CEO Jensen Huang has pegged China as a potential $50?billion market over coming years. By offering a locally sellable GPU, Nvidia retains access to leading AI developers.

Financial Strength: Backed by a AAA corporate rating and over $40?billion in cash, Nvidia’s balance sheet gives it the flexibility to absorb near?term margin pressures from lower chip ASPs.

Innovation Investment: With roughly 28% of revenue reinvested into R&D, Nvidia can continue advancing future architectures even while offering streamlined variants abroad.

Key Takeaways

Nvidia’s dual?tier GPU lineup balances export compliance with strategic pricing to safeguard its China footprint.

Strong credit metrics and robust R&D funding underpin Nvidia’s ability to navigate shifting trade policies without pausing innovation.

Watch for roll?out timing and early adoption signals from Chinese cloud and research partners to gauge competitive traction.