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Investing.com-- NVIDIA Corporation (NASDAQ:NVDA) and AMD (NASDAQ:AMD) have agreed to give the U.S. government 15% of their revenue from chip sales to China, the Financial Times reported on Sunday.
The deal is part of an arrangement with the Donald Trump administration to acquire export licenses for China, which were granted last week, the FT reported, citing people familiar with the situation, including a U.S. official.
Nvidia will share 15% of the revenue from its H20 chip sales in China, while AMD will share a similar percentage from its MI308 chip revenue, the report said.
Reports last week said the Trump administration had begun issuing licenses allowing Nvidia and AMD to resume sales of their China-focused chips. Both firms were blocked from selling in China earlier this year, amid a bitter trade dispute between the world’s biggest economies.
But improving ties between Washington and Beijing over the past two months saw the Trump administration allow the resumption of some chip sales in China.
Still, Nvidia and AMD are blocked from selling their most advanced artificial intelligence chips in China, as part of Biden-era restrictions against the country.
Nvidia’s H20 is a hot seller in China, and is used by a slew of major AI developers in the country, including Baidu (NASDAQ:BIDU), Alibaba (NYSE:BABA), Tencent, and DeepSeek.
CEO Jensen Huang had criticized U.S. restrictions on sales to China, given that such a move stood to block Nvidia from a major market.