Chinese chipmaker Moore Threads unveiled a new graphics architecture, Huagang, as part of its push to build local alternatives to Nvidia (NVDA) and Advanced Micro Devices (AMD). The announcement came at the company’s first developer event in Beijing on December 20.
Claim 50% Off TipRanks Premium and Invest with Confidence
- Unlock hedge-fund level data and powerful investing tools designed to help you make smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis so your portfolio is always positioned for maximum potential
Two new chips will use the Huagang platform. One, called Huashan, targets AI workloads. The other, Lushan, is built for gaming. Moore Threads says Lushan will deliver 15x the performance in high-end games and 50x faster ray tracing, while also supporting DirectX 12 Ultimate, a standard that only Nvidia and AMD chips currently meet.
The company says the Huagang design improves energy efficiency by 10x and packs 50% more computing power than its last generation. However, mass production is not expected until 2026.
New Gear, Real Limits
Moore Threads also revealed a large-scale AI system called Kua E. It can link up to 10,000 GPUs and deliver 10 exaFLOPS of compute. The firm demonstrated this setup running China’s 671-billion-parameter model, DeepSeek R1. In that test, the chip delivered over 4,000 tokens per second in prefill and over 1,000 tokens per second in decode.
The company introduced its first AI laptop, too. Called the AIBOOK, it will go on sale in China on January 10, 2026, with a price of about $1,380. It runs on Moore Threads’ own chip, combining CPU and GPU functions with 50 TOPS of AI computing power.
Still, the company faces key risks. Moore Threads has been on the U.S. trade blacklist since 2023. That limits its access to advanced chipmaking tools. The firm also posted $700 million in losses over the past three years and is not yet profitable. Its stock, which surged 468% after its recent Shanghai IPO, is now down 29% from its December peak.
Moore Threads expects 2025 sales between $170 million and $210 million, and aims to break even by 2027.
We used TipRanks’ Comparison Tool to compare several major U.S. chip producers to gain a broader perspective on the industry and on each stock in particular. In the list, you can find names such as Micron (MU), Advanced Micro Devices (AMD), Intel (INTC), and Broadcom (AVGO).
