China's Lunar New Year tech showcase
Watch on YouTube ↗  |  February 17, 2026 at 17:27 UTC  |  2:57  |  CNBC
Speakers
Deirdre Bosa — Anchor/Reporter, CNBC Tech Check
Carl Quintanilla — Anchor, CNBC

Summary

  • China is demonstrating full-stack AI self-sufficiency in 2026, moving beyond just software to domestic memory chips and advanced humanoid robotics.
  • A severe global memory chip shortage has driven prices up 90% in a single quarter, forcing major US players like Apple to seek supply from Chinese manufacturers.
  • The "David Sacks philosophy" may influence the Trump administration to allow sales of older NVIDIA chips to China to prevent total Chinese hardware independence, potentially benefiting US semi revenue.
Trade Ideas
Ticker Direction Speaker Thesis Time
BABA /CHINESE AI
LONG Deirdre Bosa
Anchor/Reporter, CNBC Tech Check 		China is "building out the entire ecosystem" from frontier models (Alibaba's Deep Six, ByteDance's video gen) to domestic chips and humanoid robots that are "far more fluid and precise" than previous iterations. The market underestimates China's ability to compete across the *entire* stack. Alibaba is open-sourcing powerful models, and domestic hardware is successfully powering advanced robotics, reducing reliance on US tech. Long Chinese tech leaders (BABA) and the broader sector as they prove resilience and innovation despite sanctions. Increased US export controls or sanctions; regulatory crackdowns within China. —
MEMORY SECTOR /MU
LONG Deirdre Bosa
Anchor/Reporter, CNBC Tech Check 		There is a "global shortage" in memory chips with prices up "90% in a single quarter." Apple is reportedly in talks with Chinese chipmakers (MTK, CSMT) to fill the gap. When the world's largest buyer (Apple) is forced to seek alternative Chinese suppliers, it confirms a massive supply/demand imbalance. This pricing power directly benefits established memory manufacturers like Micron (MU). Long the Memory Sector and MU to capture the super-cycle in pricing. Overproduction in late 2026; faster-than-expected capacity expansion from Chinese competitors. —
NVDA
LONG Deirdre Bosa
Anchor/Reporter, CNBC Tech Check 		It is "still Nvidia's world" for the most advanced training chips. The Trump administration is considering allowing sales of older-generation chips to China. The strategic logic (attributed to David Sacks) is that total blockades force China to build their own alternatives (like Huawei's Ascend). Selling older chips keeps China dependent on US architecture while generating revenue for Nvidia. Long NVDA as it retains the training crown and may regain access to the Chinese market for legacy products. China successfully replacing Nvidia completely with Huawei Ascend chips; US government refusing to relax export controls. 1:36