Tech giant agrees to provide US government part of H20 chip sales income; deals for other less-advanced semiconductors are not ruled out
US President Donald Trump said on Monday that he had personally negotiated a deal with Nvidia chief executive Jensen Huang, letting the tech giant sell a lower-end chip in China in exchange for part of those sales revenues being paid to the US government.
Trump did not rule out similar deals involving less-advanced versions of the company’s most high-tech chips.
The arrangement comes amid Washington’s years-long push to restrict Beijing’s access to cutting-edge semiconductors, a policy rooted in concerns that advanced AI processors could bolster China’s military capabilities.
Since 2022, Washington has imposed export controls on such chips, hitting US chipmakers hard — particularly Nvidia, the dominant player in the industry.
