On May 19th local time, Malaysia announced on the 19th that it had become the first country to deploy Huawei's Ascend GPU driven AI servers nationwide. According to a speech reviewed by Bloomberg News, Malaysia plans to deploy 3000 Huawei Ascend chip AI servers by 2026. At the same time, Chinese startup DeepSeek also provided one of its AI models, marking the first large-scale deployment of Chinese AI chips overseas.
On May 19th local time, Malaysia announced on the 19th that it had become the first country to deploy Huawei's Ascend GPU driven AI servers nationwide. According to a speech reviewed by Bloomberg News, Malaysia plans to deploy 3000 Huawei Ascend chip AI servers by 2026. At the same time, Chinese startup DeepSeek also provided one of its AI models, marking the first large-scale deployment of Chinese AI chips overseas.

But Bloomberg News reported that only one day after the news was released, the Malaysian government quickly turned around and withdrew its statements without providing any explanation. At present, it is unclear whether the project will proceed as originally planned. Chinese AI chip companies have also stated that they have not yet sold chips in Malaysia, and the local government has not purchased related equipment.
White House AI advisor Sachs said on social media: "As I have already warned, China's complete AI system has emerged. ”
The US Department of Commerce recently announced an upgrade to the export control measures for Huawei Ascend AI chips, clearly stating that the use of Huawei products anywhere in the world will violate US export control regulations, and the companies, institutions involved may face sanctions, which means that Malaysia will immediately violate US export controls.
Malaysia's unusual withdrawal of the statement this time may be due to pressure from the United States. Bloomberg News analyzed that Malaysia is seen as a key testing ground for the Trump administration's push for a new AI diplomacy strategy. The new roadmap led by Sachs aims to prevent data centers in the region from tilting towards Chinese suppliers by exporting American made AI hardware and supporting it with a security framework. The US China semiconductor war puts Malaysia in a delicate position.
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