Nvidia’s China Market Collapse: From 95% Dominance to Zero Revenue

Nvidia CEO Jensen Huang has publicly acknowledged the complete erosion of the company's China business, marking a stunning reversal for what was once its most lucrative international market. Speaking at a Citadel Securities event on October 6, Huang revealed U.S. export controls have reduced Nvidia's Chinese market share from 95% to effectively zero—a strategic blow for the AI chip leader.

The China retreat eliminates 20-25% of Nvidia's data center revenue, forcing immediate strategic recalibration. Progressive tightening of semiconductor restrictions since 2022 left no viable path for GPU sales in the region, with Huang confirming China now contributes zero revenue in current forecasts.

This market evaporation demonstrates the geopolitical risks facing tech firms in the AI arms race. Nvidia's predicament underscores how national security priorities can rapidly dismantle even the most entrenched commercial positions—a cautionary tale for semiconductor investors.