The global AI chip landscape is undergoing a significant transformation, with China's rapid advancements in domestic chip production challenging the long-standing dominance of U.S.-based NVIDIA. This shift has been catalyzed by U.S. export controls, which inadvertently accelerated China's efforts to develop high-performance AI chips like Huawei's Ascend and Cambricon. These developments have led to a burgeoning ecosystem in China, characterized by open-source collaboration and a focus on compute-efficient models, exemplified by companies like DeepSeek. The rise of Chinese chips is facilitating the optimization of AI models for domestic hardware, reducing reliance on NVIDIA, and fostering a new software ecosystem as alternatives to NVIDIA's CUDA gain traction. This evolution is not only reshaping the AI economy but also influencing global trade policies and the strategic dynamics between the U.S. and China, as China's self-sufficient AI infrastructure continues to gain momentum and challenge the existing norms of AI training and deployment globally.