ByteDance's AI spending spree boosts Chinese chip startups
ByteDance, which owns TikTok, is investing billions in artificial intelligence, which could favor smaller domestic chip manufacturers. Analysts suggest that Iluvatar CoreX is leading the pack. As per two sources, ByteDance discreetly acquired tens of thousands of AI processors from Iluvatar, a Shanghai-based firm, at a competitive rate. Additionally, the company was in discussions with other local chipmakers regarding possible orders. Neither ByteDance nor Iluvatar provided comments when approached for a response.
Key facts
- ByteDance is spending billions on AI.
- Iluvatar CoreX is a Shanghai-based chip startup.
- ByteDance bought tens of thousands of AI processors from Iluvatar.
- The purchase was at a favorable price.
- ByteDance is in talks with other domestic chipmakers.
- Analysts say Iluvatar CoreX is in pole position.
- ByteDance and Iluvatar did not comment.
- The information comes from two sources familiar with the matter.
Entities
Institutions
- ByteDance
- Iluvatar CoreX
- TikTok
Locations
- Shanghai
- China