This comes after The FT reported that Nvidia and AMD agreed to give the federal government a 15% share of their revenues from selling certain chips in China.

The US had frozen the sale of some advanced chips to China earlier this year as trade tensions spiked between the two countries.

The arrangement comes as President Donald Trump's tariffs continue to reverberate through the global economy.

Nvidia plans to share 15% of the revenue from sales of its H20 chip in China and AMD will deliver the same share from MI308 revenues.

Chipmakers agree to quid pro quo deal as condition for obtaining export licenses for Chinese market, FT reports

The agreement is part of a deal to secure export licences to the world's second biggest economy.

Nvidia and AMD have agreed to give the U.S. government 15% of revenue from sales to China of advanced computer chips like Nvidia's H20 that are used for artificial intelligence…

Moves comes after Nvidia said Washington would allow the company to resume sales

Trade experts express concern about reported deal linking exports controls to monetary payments.

This comes after The FT reported that Nvidia and AMD agreed to give the federal government a 15% share of their revenues from selling certain chips in China.

The United States' two leading makers of semiconductors that power AI have agreed to pay 15% of their China sales of two chips in exchange for export licenses.

Analysts said the deal to give some China revenue to the U.S. government is positive for both AMD and Nvidia as they get access to a huge market.

Every weekday, the Investing Club releases the Homestretch; an actionable afternoon update just in time for the last hour of trading.

The chipmaker will report quarterly results on Aug. 27.