Tuesday, December 9, 2025

Nvidia Allowed to Sell H200 AI Chips to China if U.S. Takes 25% Profit Cut

Nvidia’s H200 Chips: A Game-Changer for U.S.-China Relations

In a pivotal move for the AI industry, President Donald Trump announced that Nvidia will distribute its H200 AI chips to “approved customers” in China, with a 25% revenue cut going to the U.S. This new policy promises to:

  • Strengthen American Jobs: Supporting the domestic chip industry.
  • Boost U.S. Manufacturing: Ensuring that manufacturing remains robust and competitive.
  • Benefit American Taxpayers: A strategic financial gain from international sales.

Chinese President Xi Jinping displayed a positive response, signaling a collaborative approach amidst trade tensions. Nvidia and AMD previously committed to share 15% of their revenue from chip sales to China, underscoring a mutual benefit.

Semiconductors are central to the ongoing U.S.-China AI race, making this decision even more significant.

Let’s discuss! How do you think this impacts the future of AI and tech industries? Share your thoughts!

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