"We follow the 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.", the Nvidia spokesperson stated when asked about this recent agreement with the Trump administration.
On the other hand, the AMD company did not comment on this topic.
But it’s important to mention that both Nvidia and AMD will give 15% of their revenues, but only from the Nvidia chip H20 sales and AMD chip MI308 sales. According to the same sources familiar with the matter, it seems that the Trump administration closed this agreement to receive money, but it has not yet decided how the money from these two companies will be spent.
We must admit that the Chinese market represents a significant part for both companies, due to the fact that it has a huge demand for advanced chips for different purposes, but especially for developing artificial intelligence applications and models.
While Nvidia generated about $17 billion in revenue only from the Chinese market, which represents 13% of the overall company revenue, AMD has gained $6.2 billion only from the Chinese market in 2024. Compared with Nvidia, the Chinese market is more important for AMD, representing about 24% of the total revenue.
We don’t know if this represents an agreement with the Trump administration in order to control what Nvidia and AMD chips will be shipped to the Chinese market. It is already known that a rivalry exists between the U.S. and Chinese markets.
Stay tuned for more updates!
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