NVIDIA, AMD to Hand Over 15% of China AI Revenue to US Government

The US has sought to maintain its sovereignty in AI, citing national security concerns and financial motivations.

The US is allowing NVIDIA and AMD to resume selling their advanced artificial intelligence chips to China, despite previous concerns about national security.

A US official told Reuters that, in exchange, the companies must hand over 15% of the revenue from these sales to the government. An NVIDIA spokesperson did not deny this when questioned by the publication, simply stating, “We follow rules the US government sets for our participation in worldwide markets.” They also said that NVIDIA hadn’t shipped its H20 AI chip to China for months.

The US has sought to maintain its sovereignty in AI by restricting China’s access to cutting-edge hardware developed by American companies, which is essential for training and deploying powerful AI models. In addition to financial motivations, Washington has ...