Nvidia, AMD to pay 15% of China chip sales revenue to US govt- FT

Published 11/08/2025, 00:24
© Reuters

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. 

 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.