US President Donald Trump has greenlit Nvidia's sale of powerful artificial intelligence (AI) chips to China, effectively lifting a six-month ban imposed by his predecessor's administration. The move is seen as a significant win for the chip maker, led by CEO Jensen Huang, who has been lobbying Trump to open up sales in the country.
Prior to Monday's announcement, the US had restricted the sale of Nvidia's most advanced chips to China due to national security concerns. However, Trump posted on Truth Social that he would allow NVIDIA to ship its H200 products to approved customers in China and other countries under conditions that ensure continued strong National Security.
The decision is expected to be worth billions of dollars for Nvidia, which is valued at $4.5 trillion. The US will receive a 25% share of the proceeds, more than previously agreed upon with the chip maker in an earlier deal to lift restrictions. This move comes amid criticism from lawmakers who have questioned the legality of such arrangements.
Democrats Elizabeth Warren and Andy Kim have expressed concerns that selling these chips to China could be used for surveillance, censorship, and military applications. They have urged Trump to stop ignoring their input and allow experts to advise on national security deals.
Huang has worked closely with Trump since his inauguration and has made several trips to the White House. He attended Trump's AI summit in July and was a guest at the recent dinner for Saudi Crown Prince Mohammed bin Salman. Huang has also pledged to invest $500 billion in AI infrastructure in the US over four years, as well as stated that China's bans on Nvidia chips were a "strategic mistake".
The move could mark a significant shift in the US-China tech landscape, with China's domestic chip industry now gaining momentum after years of restricted imports. Chinese officials have welcomed the news, saying they will continue to adhere to the principle of mutual benefit and win-win results through cooperation.
The deal is expected to support US jobs and manufacturing, according to Nvidia spokesperson, while Trump condemned the Biden administration's policies on export controls as "OVER!"
Prior to Monday's announcement, the US had restricted the sale of Nvidia's most advanced chips to China due to national security concerns. However, Trump posted on Truth Social that he would allow NVIDIA to ship its H200 products to approved customers in China and other countries under conditions that ensure continued strong National Security.
The decision is expected to be worth billions of dollars for Nvidia, which is valued at $4.5 trillion. The US will receive a 25% share of the proceeds, more than previously agreed upon with the chip maker in an earlier deal to lift restrictions. This move comes amid criticism from lawmakers who have questioned the legality of such arrangements.
Democrats Elizabeth Warren and Andy Kim have expressed concerns that selling these chips to China could be used for surveillance, censorship, and military applications. They have urged Trump to stop ignoring their input and allow experts to advise on national security deals.
Huang has worked closely with Trump since his inauguration and has made several trips to the White House. He attended Trump's AI summit in July and was a guest at the recent dinner for Saudi Crown Prince Mohammed bin Salman. Huang has also pledged to invest $500 billion in AI infrastructure in the US over four years, as well as stated that China's bans on Nvidia chips were a "strategic mistake".
The move could mark a significant shift in the US-China tech landscape, with China's domestic chip industry now gaining momentum after years of restricted imports. Chinese officials have welcomed the news, saying they will continue to adhere to the principle of mutual benefit and win-win results through cooperation.
The deal is expected to support US jobs and manufacturing, according to Nvidia spokesperson, while Trump condemned the Biden administration's policies on export controls as "OVER!"
like how did this even happen?! i was so sure it wasn't gonna happen 
anyway its a huge win for nvidia and jensen huang but i'm lowkey worried about what elizabeth warren is saying... like whats gonna happen with surveillance and censorship in china? 
also 25% of the proceeds is a lot of benjamins 
this deal is def worth billions but u gotta wonder if its worth it 
elizabeth warren andandy kim are low-key my heroes rn 
theyre all about making sure us national security isnt compromised like we cant have a free pass to sell chips willy nilly to china tho 
anyway i hope this means more innovation and tech growth for the us 
I don't buy it. There's definitely some sketchy business going on here.
And what about those concerns from lawmakers like Elizabeth Warren? Don't they deserve some cred?
about this news! Like what even is happening with our presidents 
. This whole thing is just soooo suspicious 
and I'm low-key worried about the implications 
Trump just saved Jensen Huang's bacon and now the US gets a sweet slice of the pie too 
. I'm not sure about the national security concerns tho... can we trust China with this kinda power? 
. I mean, it's a big deal for Nvidia and Jensen Huang, who's been pushing hard for this sale. But at the same time, I gotta wonder if we're really thinking through the implications here... I mean, China's got some pretty sketchy human rights records, and using these AI chips for surveillance or other nefarious purposes would be super concerning 
And now we're basically handing over a 25% share of those profits to the US government... it just doesn't feel right. 
. maybe some ppl are worried about national security, but like, china's got experts who can handle that stuff 
... it's not like nvidia's gonna compromise on anything 
And Trump is all about it, bless his heart 
We need more jobs and manufacturing in this country! 
.
, always lobbying Trump and getting what he wants 
. And I love that he's investing $500 billion in AI infrastructure here in the US! 
That's some serious commitment to growing our tech industry 