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Chinese chipmakers invest up to half of revenue in R&D, surpassing US peers in ratio

economy-finance · 2026-05-06

Chinese chip designers are allocating up to 50% of their revenue to research and development, a ratio far exceeding US counterparts like AMD and Intel, which typically spend 20-30%. This surge is driven by Beijing's push for technological self-reliance. Despite higher ratios, absolute R&D spending remains lower: Nvidia spent $18.5 billion, AMD $8 billion, and Intel $13.8 billion in their most recent fiscal years. The data comes from exchange filings and earnings reports.

Key facts

  • Chinese chip designers devote up to half of revenue to R&D.
  • US chipmakers AMD and Intel spend 20-30% of revenue on R&D.
  • Nvidia spent $18.5 billion on R&D for the year ended January 25, 2026.
  • AMD spent $8 billion on R&D for the year ended December 27, 2025.
  • Intel spent $13.8 billion on R&D for the year ended December 27, 2025.
  • Beijing is pushing for tech self-reliance.
  • Chinese chip designers lag US giants in absolute R&D spending.
  • Data sourced from exchange filings.

Entities

Institutions

  • AMD
  • Intel
  • Nvidia

Locations

  • China
  • United States

Sources