Trump Announces Nvidia's AI Chip Sales to China

Nvidia has secured authorization from the White House, allowing the export of its H200 AI GPU chips to specific clients within China and select other nations, as per former President Donald Trump.

According to a Monday post on Truth Social by Trump, this agreement carries stipulations designed to maintain robust national security measures. Additionally, the United States will claim a 25% share of the GPU-related revenues—up from the 15% threshold discussed in August.

AI Chip Advancements

The H200 chips represent an advancement over the previously scaled-down H20 variants, which Nvidia has been allowed to market in China. However, they aren't as powerful as Nvidia's more cutting-edge Blackwell GPUs.

Economic Impact

Trump emphasized that this policy framework is anticipated to bolster job creation within the U.S., enhance domestic industrial capabilities, and generate benefits for American taxpayers. Nvidia's U.S.-based patrons are already advancing with their top-tier Blackwell chips, alongside another cutting-edge project known as Rubin, both of which remain outside the current agreement.

Political and Trade Dynamics

Despite the Trump administration's move, a faction of senators is advocating against granting China access to Nvidia's leading-edge chip technology to safeguard the U.S.'s dominant position in artificial intelligence development. These developments potentially further reward Nvidia's CEO's strategic engagements with the White House, contingent upon China's interest in acquiring these chips.