Chinese companies, such as Alibaba and ByteDance, are training AI models in data centers in Southeast Asia to access Nvidia chips and avoid restrictions imposed by the US.

Chinese technology companies, including Alibaba and ByteDance, are training artificial intelligence models in data centers in Southeast Asia to gain access to Nvidia chips, thus circumventing restrictions imposed by the U.S. This practice has increased after the Trump Administration limited Nvidia's semiconductor sales to China. Data centers in Singapore and Malaysia have become popular, being equipped with advanced Nvidia technology. Chinese companies are signing rental contracts to use these centers, complying with export regulations. Although most companies prefer Nvidia products, DeepSeek, a Chinese manufacturer, trains AI models in-house and collaborates with Huawei for chip development. Additionally, Chinese companies use these centers to serve international clients, but they cannot transfer private data outside the country, which limits the customization of AI models.