DeepSeek Plans 160,000 Huawei Chip Cluster in Inner Mongolia

DeepSeek plans to install at least 160,000 Huawei Technologies Co. Ascend 950DT AI accelerators at a new gigawatt-scale data center in Inner Mongolia. The project would establish one of the largest known clusters of Huawei chips, supporting a broader Chinese strategic effort to replace Nvidia Corp. components following United States export restrictions.

While the startup intends to use the 950DT chips for model operations, it has historically relied on Nvidia accelerators for the more demanding training processes. The installation timeline remains uncertain because Huawei faces production constraints caused by high-end memory shortages and competing demand from other clients.

To mitigate these delays, DeepSeek has reportedly sought assistance from the Chinese government to secure a larger and faster allocation of chips from Huawei. The Ministry of Industry and Information Technology oversees the national tech policy relevant to these procurement efforts.