Nvidia's share of China's AI chip market has slipped to 34 percent, according to a BigGo Finance report, as Huawei closes the gap in the country's accelerating AI accelerator market.

The figure marks a sharp erosion of the position Nvidia held before Washington tightened export controls on its most advanced data center GPUs, and it signals the opening that domestic Chinese suppliers have exploited.

Huawei stands as the principal challenger. The report frames the shift as a direct consequence of the rivalry between the two companies, with Huawei gaining ground in a market Nvidia once dominated.

What does the share loss mean for Nvidia?

The 34 percent figure quantifies the commercial cost of the U.S. export regime. Each round of restrictions has pushed Chinese buyers toward domestic alternatives, and Huawei has absorbed much of that demand.

Nvidia has responded in the past with China-specific parts trimmed to comply with export rules, but each successive product has faced tighter limits. The report does not state whether a further compliance design is in play now.

The loss of share carries weight beyond one market. China has ranked among Nvidia's largest revenue regions, and data center GPUs drive the bulk of the company's sales.

How far has Huawei come?

The report presents Huawei as closing in on Nvidia rather than overtaking it. Nvidia remains the larger player at 34 percent of the market. Huawei's exact share is not disclosed in the source.

What is clear is the direction of travel. Export controls have handed Huawei a protected home field, and Chinese cloud providers and AI developers have shown willingness to buy domestic silicon where U.S. parts are restricted.

What comes next?

The competitive picture now hinges on two variables: the stringency of future U.S. export rules and the pace at which Huawei can scale shipments of its Ascend-series AI processors.

If the trend captured in the report continues, Nvidia's China share could compress further, turning a market once central to its growth into a contested arena between the U.S. chip leader and its closest Chinese rival.