The US President Donald Trump has declared that Nvidia will be permitted to sell its sophisticated H200 AI chips to the so-called authorized DINs in China, overturning previous limitations but applying new limitations. According to Trump, the move safeguards national security, enhances American employment, and guarantees the US leadership in AI. It is approved by other chipmakers, including AMD, and is the result of major lobbying by Nvidia CEO Jensen Huang.
The most valuable chip company in the world, Nvidia, has been the center of US-China technology disputes. However, even though Trump removed the initial ban in July, he demanded that Nvidia pay 15 percent of its revenue in China to the US government. China subsequently pressured its technology companies to cease the purchase of Nvidia’s modified chips.
The new move was celebrated by Nvidia, which said that such a policy by the Commerce Department vetting will guarantee a balanced one. Critics, however, caution that the move would contribute to the empowerment of Chinese AI-driven military efforts. The white house has not clarified the argument by Trump that 25 percent will be paid to the US.
