ByteDance plans to spend $12 bn on AI chips

12:14 - 23.01.2025


January 23, Fineko/abc.az. Chinese company ByteDance, which owns TikTok social network, intends to spend $12 bn on chips in 2025 in order to develop an AI model, ABC.AZ reports, referring to the Financial Times (FT).

According to FT sources’ data, about 60% of the semiconductors to be purchased from Chinese companies such as Huawei, the rest will be spent on Nvidia chips.

ByteDance, which has become one of the leaders in the field of AI in China, is stepping up efforts to create its own artificial intelligence infrastructure to train its basic model, as well as to implement AI functions on its various platforms, the newspaper says.

In addition, ByteDance plans to spend 40 bn yuans ($5.5 bn) to purchase artificial intelligence chips in China in 2025.

FT sources report that Beijing has informally recommended that Chinese technology companies purchase at least 30% of chips from local suppliers.