Alibaba, ByteDance move AI training offshore amid U.S. curbs: FT

BEIJING: China: Chinese technology companies are increasingly shifting the training of artificial intelligence models to overseas data centres as U.S. export controls tighten access to Nvidia chips, the Financial Times reported.

Alibaba and ByteDance are among the firms training new large language models in Southeast Asia, the report said, citing two people with direct knowledge of the arrangements.

The FT said offshore training has risen steadily since Washington, in April, moved to restrict sales of Nvidia's H20 chip to China.

According to the report, Chinese companies depend on leasing capacity from overseas data centres that are owned and operated by non-Chinese companies. One exception is DeepSeek, which accumulated an ample supply of Nvidia chips before U.S. restrictions took effect and continues to train its model domestically.

DeepSeek is also working with Chinese chipmakers, led by Huawei, to develop next-generation local AI semiconductors, the newspaper added.

The FT report could not immediately be verified. Alibaba, ByteDance, Nvidia, DeepSeek, and Huawei did not immediately respond to requests for comment.