Nvidia to Sell AI Chips to China Again

Nvidia plans to resume sales of its H20 AI chip to China soon after the US government assured the company that licenses will be granted. The H20 chip was designed to bypass earlier export controls, but in April, the US government told Nvidia it needed a license to sell the chips to China. Nvidia CEO Jensen Huang had met with US President Donald Trump and reaffirmed the company's support for the administration's job creation efforts. The potential change in US stance comes after Washington and Beijing agreed to a preliminary trade framework that included easing tech export curbs.

The US government has reversed its earlier decision to restrict Nvidia's sales of artificial intelligence chips to China. Nvidia announced that it has been approved to sell a China-specific AI chip, the H20, to Chinese tech companies, although it still needs licensing approval for individual orders. The decision comes after Nvidia's CEO, Jensen Huang, met with President Trump and lobbied politicians to keep China open for AI chip sales, a market worth billions of dollars. The reversal is seen as a significant development in the US-China AI race and has implications for the global tech industry.

Nvidia will resume selling its H20 graphic processing chips to China after the US government assured the company that export licenses will be granted. The H20 chip is a made-for-China product that is less powerful than Nvidia's top-of-the-line acceleration chip. The resumption of sales is a boost for Nvidia and China's AI developers, who will gain access to advanced chips for high-powered computing, with China's AI funding expected to grow 48% to $98 billion this year.