Nvidia's stock has encountered a significant decline as China's government encourages local companies to avoid purchasing Nvidia's AI chips, a push aimed at reducing dependency on Western technology. Reports indicate that Nvidia has allegedly ceased taking orders for its HGX H20 GPU processors, adding to investor concerns about potential regulatory hurdles for the H20 AI accelerator. Concurrently, Chinese competitors, including Huawei and Cambricon, are gaining momentum; Huawei has begun sampling its next-gen Ascend 910C AI chips designed to rival Nvidia. Furthermore, Broadcom's entry into the GPU market introduces additional competition for Nvidia. As Beijing intensifies its support for domestic AI chip companies, the landscape for Nvidia in China appears increasingly challenging.