Nvidia and AMD to Pay 15% of AI Chip Sales Revenue in China to U.S. Budget — Reports

[cryptohog]

Nvidia and AMD will reportedly be required to hand over 15% of their revenue from AI chip sales in China to the U.S. government — a condition tied to the resumption of processor sales in the Chinese market.

According to Financial Times and The New York Times, citing sources:

The agreement is a prerequisite for obtaining licenses to export AI processors to China.

The deal was struck about a month after U.S. authorities announced that Nvidia could resume sales of its H20 processor in China — a chip designed specifically for that market.

Under the arrangement, Nvidia will share 15% of H20 chip sales revenue, and AMD will do the same for its MI308 chips.

The Trump administration has not yet decided how the funds will be used.

The NYT reports the agreement could bring the U.S. government over $2 billion.
Bernstein Research analysts forecast that by the end of 2025:

Nvidia could sell over $15 billion worth of chips to China

AMD could sell around $800 million worth.