TikTok parent ByteDance gets access to top NVIDIA chips - WSJ

TikTok’s Chinese parent company, ByteDance, is expanding its access to advanced artificial intelligence (AI) hardware, with reports indicating the firm is deploying high-end Nvidia chips outside China. According to the , ByteDance is collaborating with Southeast Asian cloud provider Aolani Cloud to install approximately 500 Nvidia Blackwell computing systems in Malaysia, totaling around 36,000 B200 chips. This initiative, estimated to cost over $2.5 billion, aims to bolster AI research and development while addressing global demand for the company’s services.

ByteDance’s investment in AI infrastructure aligns with broader strategic goals. The firm plans to allocate approximately $14 billion to Nvidia chips in 2026, a significant increase from roughly $11.7 billion in 2025, contingent on U.S. regulatory approvals for the sale of H200 chips to Chinese entities. However, the Trump administration has proposed conditions—such as Know-Your-Customer (KYC) requirements—to prevent potential misuse by China’s military, which Nvidia has not yet agreed to accept.

In parallel, ByteDance is advancing internal chip development, with progress reported on a processor matching the performance of Nvidia’s H20 chip at a lower cost. The company is also investing in memory technologies and has restructured its semiconductor unit amid geopolitical tensions. These moves underscore ByteDance’s efforts to secure long-term control over AI computing resources while navigating regulatory complexities in both China and the U.S.