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NVIDIA CEO and co-founder Jensen Huang commends President Donald Trump’s A.I. agenda and outlines what the country’s job future will look like on ‘Special Report.’
Nvidia and AMD have reportedly agreed to share 15% of revenue from sales from AI chip sales to China with the U.S. government.
The agreement is said to cover revenue from chips such as Nvidia’s H20, which is designed for artificial intelligence applications, a U.S. official told Reuters on Sunday.
The arrangement was reportedly discussed following a meeting between Nvidia CEO Jensen Huang and President Trump two days prior to an announcement that the Commerce Department would begin to start issuing H20 export licenses.
CHINA IS EXPLOITING OUR GOVERNMENT’S TECH WEAKNESS. WE NEED A RAPID REBOOT
U.S. President Donald Trump (L) listens as Nvidia CEO Jensen Huang speaks in the Cross Hall of the White House during an event on “Investing in America” on April 30, 2025 in Washington, DC. Trump was joined by CEOs to highlight companies and their in (Andrew Harnik/Getty Images / Getty Images)
Exports of the chip had previously been halted by the Trump administration due to national security concerns. While Nvidia has not confirmed the revenue-sharing arrangement directly, it confirmed to Reuters in an email that it is committed to compliance.
“Nvidia follows rules the U.S. government sets for our participation in worldwide markets. While we haven’t shipped H20 to China for months, we hope export control rules will let America compete in China and worldwide,” Nvidia said in an email.
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In this illustration photo Intel processor is seen in Antalya, Turkey on February 15, 2021. (Photo by Mustafa Ciftci/Anadolu Agency via Getty Images / Getty Images)
The Financial Times, which first reported the deal, said it opens the door for resuming exports, but that the Trump administration has not yet clarified how the revenue will be allocated.
Experts say this type of financial concession as a condition for export approval is highly unusual and may blur the lines between national security policy and economic strategy.
A Nvidia Corp. chip during the Taipei Computex expo in Taipei, Taiwan, on Monday, May 29, 2023. (Photographer: I-Hwa Cheng/Bloomberg via Getty Images / Getty Images)
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China remains a key market for both chipmakers. Nvidia earned approximately $17 billion in revenue from China in its last fiscal year, accounting for 13% of total sales. AMD reported $6.2 billion in Chinese revenue in 2024, or 24% of its total.
If sales return to previous levels, the U.S. government could collect hundreds of millions per quarter under the 15% arrangement, analysts say.
