The turbulence of traffic and transactional tremors

Washington plays games with the AI suppliers.

August 12, 2025

Jon Peddie

In August, the Financial Times reported that AMD and Nvidia agreed to give the US government 15% of Chinese chip sales revenue in exchange for export licenses for Nvidia’s H20 and AMD’s MI308 chips. The deal followed Trump’s proposed 100% semiconductor tariff, with exemptions for US-based manufacturing. Shortly after approval, Chinese state media attacked Nvidia as a security threat. Nvidia opposed “kill switches” in chips, calling them a global risk. Trump claimed he negotiated the percentage personally, dismissing H20 as “obsolete.” Both companies confirmed license approvals, though market response was slightly negative. In early August, a Financial Times report revealed that AMD and Nvidia

...

Enjoy full access with a TechWatch subscription!

TechWatch is the front line of JPR information gathering service, comprising current stories of interest to the graphics industry spanning the core areas of graphics hardware and software, workstations, gaming, and design.

A subscription to TechWatch includes 4 hours of consulting time to be used over the course of the subscription.

Already a subscriber? Login below

The turbulence of traffic and transactional tremors

Enjoy full access with a TechWatch subscription!

This content is restricted

Login