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AMD and NVIDIA to Share 15% of China AI Chip Revenues with U.S. Government Under New Licensing Deal

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Nvidia and AMD have agreed to pay the U.S. government 15% of revenue from sales of their high-end AI chips to China in return for licenses to sell in the country, according to the Financial Times. The arrangement covers Nvidia’s H20 AI chips and AMD’s MI308 chips, with licenses now being issued for both.

The deal follows shifting U.S. export control policies that initially restricted AI chip sales to China but later paused bans amid trade discussions and Nvidia’s pledge to invest heavily in U.S. data centers. While the Biden administration’s approval has faced national security criticism, the move underscores the complex intersection of AI technology, global trade, and geopolitical competition.



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