US tech companies Nvidia and AMD have agreed to pay the US government 15% of their revenues from selling chips in China. The move comes after authorities told them to avoid using these chips for national security use cases. The White House confirmed the agreement, which includes giving up revenue from less-advanced AI chip sales such as Nvidia’s H20 chips. The companies had previously said they would resume shipping these chips in China after export licenses were required earlier this year. Shares of both stocks rose on Tuesday after the announcement.
Source: https://www.cnbc.com/2025/08/12/china-warns-companies-against-using-nvidia-and-amd-chips-report-says.html