President Trump confirmed revenue-sharing agreements between his administration and major graphics processing unit manufacturers for Chinese exports. The deal requires companies like NVIDIA and AMD to provide the government with fifteen percent of their China-generated earnings. Trump initially sought a twenty percent share but accepted the reduced figure after negotiations with NVIDIA CEO Jensen Huang. The arrangement currently applies only to H20 chip sales, though the administration may extend similar terms to modified Blackwell processors with reduced capabilities.
The president described NVIDIA's H20 processors as outdated technology that falls far short of current American standards. These chips have operated in Chinese markets for several years and deliver significantly lower performance compared to advanced Blackwell solutions. The administration maintains strict controls on high-performance artificial intelligence hardware exports to prevent competitive advantages for Chinese customers. Future graphics cards destined for China will feature deliberately downgraded specifications that limit their computational power.
The president described NVIDIA's H20 processors as outdated technology that falls far short of current American standards. These chips have operated in Chinese markets for several years and deliver significantly lower performance compared to advanced Blackwell solutions. The administration maintains strict controls on high-performance artificial intelligence hardware exports to prevent competitive advantages for Chinese customers. Future graphics cards destined for China will feature deliberately downgraded specifications that limit their computational power.
