Nvidia Grapples with US Export Curbs, $5.5 Billion Hit Looms for AI Chip Sales to China
Summary
Nvidia grapples with new US export restrictions requiring licenses to sell its H20 AI chips to China, citing national security risks, potentially leading to a $5.5 billion hit in its Q1 2026 fiscal year.
Key Points
- Nvidia faces new US export controls requiring a license to export its H20 AI chips to China
- The US government cites risk of H20 chips being used in Chinese supercomputers as the reason
- Nvidia anticipates $5.5 billion in charges related to the new export restrictions in its Q1 2026 fiscal year