Meet Cambricon: how 2 'genius brothers' created China's potential rival to Nvidia

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is trading at an eye-watering trailing 12-month price-to-earnings ratio above 4,000 - compared to under 60 for Nvidia - reflects a growing belief in China that the country is on a path to develop an AI ecosystem independent from US hardware.Chinese model developer DeepSeek's recent suggestion that the country's "next-generation home-grown AI chips" were just around the corner has ignited enthusiasm about Cambricon's prospects, analysts said.Do you have questions about the biggest topics and trends from around the world? Get the answers with SCMP Knowledge, our new platform of curated content with explainers, FAQs, analyses and infographics brought to you by our award-winning team."The rapid surge in Cambricon's valuation reflects not just its recent growth but also heavy anticipation of future potential," said Ray Wang, research director with a focus on the global semiconductor industry at Futurum Group. "This optimism is largely driven by regulatory and geopolitical shifts, strong domestic AI demand, and the latest DeepSeek optimisations for local hardware."The company's core business is the development and design of AI chips for cloud servers, edge devices and terminals, as well as data-centre clusters. Cambricon is reportedly developing its flagship Siyuan 690, set to succeed the Siyuan 590 series launched in 2023. The new chip is expected to approach the capabilities of Nvidia's H100.An undated photo of Cambricon founders Chen Tianjin (left) and Chen Tianshi. Photo: Handout alt=An undated photo of Cambricon founders Chen Tianjin (left) and Chen Tianshi. Photo: Handout>Cambricon was founded in 2016 by two brothers, Chen Yunji and Chen Tianshi, who are now 42 and 40 years old, respectively. Born in Nanchang, the capital of Jiangxi province, they both went on to work at the Chinese Academy of Sciences (CAS), the country's top science research agency.The Chen brothers were students in the academy's elite "genius youth class", a special education programme designed to train top local talent, before they joined the academy's Institute of Computing Technology. The elder brother focused on semiconductors while the younger turned to AI.Both shared a passion for chip design. According to an interview with the elder Chen published by official media China Science Daily in September 2024, the brothers shared "laughter and tears" in jointly working on deep-learning processors, also known as AI accelerators.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,486.09 +20.15 (+0.31%)Dow 3045,594.83 +176.76 (+0.39%)Nasdaq21,606.94 +62.67 (+0.29%)Russell 20002,372.92 +14.33 (+0.61%)VIX14.89 +0.27 (+1.85%)Gold3,447.80 +14.80 (+0.43%)PortfolioSign in to access your portfolioSign inTop gainersMDB MongoDB, Inc. 291.56 +77.22 (+36.03%)SATS EchoStar Corporation 58.43 +7.56 (+14.86%)NCNO nCino, Inc. 32.92 +4.23 (+14.73%)LUMN Lumen Technologies, Inc. 5.15 +0.46 (+9.91%)DCI Donaldson Company, Inc. 82.29 +6.66 (+8.81%)Top losersTIGR UP Fintech Holding Limited 11.43 -1.39 (-10.88%)LI Li Auto Inc. 22.47 -2.18 (-8.86%)SMMT Summit Therapeutics Inc. 24.86 -2.12 (-7.88%)XPEV XPeng Inc. 22.50 -1.83 (-7.52%)UUUU Energy Fuels Inc. 11.59 -0.73 (-5.89%)Most activeOPEN Opendoor Technologies Inc. 4.2701 -0.4299 (-9.15%)NVDA NVIDIA Corporation 182.04 +0.27 (+0.15%)PSNYW Polestar Automotive Holding UK PLC 0.4500 +0.2900 (+181.25%)WBA Walgreens Boots Alliance, Inc. 11.96 +0.03 (+0.29%)INTC Intel Corporation 24.89 +0.53 (+2.20%)Earnings eventsMy earnings eventsEarnings eventsTrending tickersNVDA NVIDIA Corporation 181.99 +0.22 (+0.12%)MDB MongoDB, Inc. 291.76 +77.42 (+36.13%)KSS Kohl's Corporation 15.50 +2.45 (+18.83%)PSNYW Polestar Automotive Holding UK PLC 0.4420 +0.2820 (+176.25%)TD.TO The Toronto-Dominion Bank 105.35 +1.26 (+1.21%)Top economic events