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In the AI Race, China Bets on Scale with Alibaba and Huawei Clusters

China is ramping up efforts to build self-reliant AI infrastructure, with Alibaba and Huawei deploying large-scale computing clusters as part of a broader shift toward domestic, high-capacity systems.
April 8, 2026 09:13 PM IST | Written by Neelam Sharma | Edited by Pratima O Pareek

China is speeding up its effort to create self-sufficient artificial intelligence infrastructure. Major tech companies like Alibaba Group and Huawei Technologies are launching huge domestic computing clusters to compete with US rivals.

The latest developments in Guangdong province highlight Beijing’s strategy to scale up computing power and reduce reliance on foreign chipmakers amid an intensifying global AI race, according to a report by the South China Morning Post (SCMP). The developments come as China continues efforts to build self-reliant AI infrastructure amid broader technology tensions with the United States.

Alibaba has deployed a 10,000-card intelligent computing cluster powered by its in-house Zhenwu AI chips, developed by its T-Head semiconductor unit. Built in partnership with China Telecom at a data centre in Shaoguan, the system is designed to function as a unified supercomputer with ultra-low latency of 4 microseconds.

Alibaba stated that the cluster improves training and inference efficiency by around 30%, with nearly tenfold gains in single-chip throughput. The approach reflects a broader focus on scaling systems and improving efficiency at the cluster level.

The announcement follows closely behind Huawei’s activation of a similarly scaled 10,000-card cluster in Shenzhen using its Ascend 910C chips. Together, these projects signal a shift in China’s AI sector from simply replacing foreign hardware to optimizing large-scale, domestically built systems.

China’s push is also backed by national policy. The government has prioritized intelligent computing infrastructure in its latest five-year plan, aiming to expand high-performance computing capacity and improve resource distribution. By mid-last year, the country’s total computing power had reached about 962,000 petaflops – representing roughly one-fifth of global capacity – reflecting rapid growth, according to data from the China Academy of Information and Communications Technology (CAICT).

China’s increasing bet on large-scale AI computing clusters shows its commitment to building a fully self-sufficient ecosystem and retaining its competitive posture in the global AI race.

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Authors

  • Neelam Sharma

    Neelam Sharma is a passionate storyteller, and journalist with over a decade of experience across leading Indian media houses.
    Known for her calm presence on screen and powerful storytelling off it, Neelam brings a rare blend of credibility, creativity, and empathy to journalism. Her strength lies in ground reporting and research-driven narratives that connect with the heart of the audience. Whether covering social issues, human-interest features, or breaking news, she combines factual depth with a human touch—making every story not just informative.
  • Pratima O Pareek

    Pratima O Pareek is an Editor and Co-Founder of AI FrontPage. A gold medalist in Mass Communication and Journalism, she's worked across national and international newsrooms, bringing sharp editorial instincts and a commitment to clarity. She believes in cutting through the noise to deliver stories that actually matter.
    Off the clock, she watches offbeat cinema, follows tennis, and explores new places like a traveler, not a tourist.

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