Malaysia Mulls Using Huawei AI Chips To Further National Ambition

The Malaysian government is considering the possibility of using artificial intelligence (AI) chips manufactured by Chinese company Huawei to advance its national ambitions in the field of AI. This decision, while potentially beneficial, could face opposition from the United States, particularly due to the current restrictions in place.

Bloomberg reports that the Malaysian government is evaluating the option of purchasing Huawei's AI hardware, which would contribute to the RM2 billion initiative aimed at transforming the country into a significant player in AI data centers. However, it's important to note that Huawei's AI chips do not currently match the performance of NVIDIA's AI accelerators.

Despite this, Huawei has been filling the gap left by US-based GPU company NVIDIA after the US government imposed substantial restrictions on it due to geopolitical tensions. Malaysian Prime Minister, Datuk Seri Anwar Ibrahim, is still considering the possibility of acquiring some of Huawei's AI chips, which would mark the first instance of a foreign government opting for Chinese AI accelerators over US-made ones in the current geopolitical climate.

This move could potentially draw criticism from US President Donald Trump, who has had a long-standing feud with Huawei dating back to his first term. The Cloud Act, a US law signed by Trump during his presidency, further complicates the situation as it allows American courts to compel technology companies to hand over electronic data, even if it is stored overseas.