Nvidia and AMD to pay 15% of China chip sales to US
Nvidia told the BBC: "We follow rules the US government sets for our participation in worldwide markets."
Security experts, including some who served during President Donald Trump's first term, recently wrote to the administration expressing "deep concern" that Nvidia's H20 chip was "a potent accelerator" of China's AI capabilities.
The US had previously banned the sale of powerful chips used in areas like artificial intelligence (AI) to China under export controls usually related to national security concerns.
Chip giants Nvidia and AMD have agreed to pay the US government 15% of Chinese revenues as part of an "unprecedented" deal to secure export licences to China, the BBC has been told.
It added: "While we haven't shipped H20 to China for months, we hope export control rules will let America compete in China and worldwide."
AMD did not immediately respond to a request for comment. The White House declined to comment.
Under the agreement, Nvidia will pay 15% of its revenues from H20 chip sales in China to the US government.
AMD will also give 15% of revenue generated from sales of its MI308 chip in China to the Trump administration, which was first reported by the Financial Times.
The H20 chip was developed specifically for the Chinese market after US export restrictions were imposed by the Biden administration in 2023. Its sale was effectively banned by Trump's government in April this year.
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