NVIDIA's Blackwell AI chips won't be allowed for export to China, as President Trump puts an end to all developments surrounding Team Green's re-entry into Beijing.
The Trump Administration Says No to Blackwell For China, Leaving Jensen With No Option For the Regional AI Markets
It seems that Jensen's desire to return to China might have to wait a little longer, as even after the monumental US-China trade breakthrough, NVIDIA's AI chips will still be unable to access the Chinese AI market. During a CBS News interview, President Trump declared that the US won't allow other nations, such as China, to have access to 'high-end' AI chips. More importantly, he specifically mentioned not approving Blackwell, which means that, for now, the NVIDIA-China situation remains in a deadlock.
The most advanced, we will not let anybody have them other than the United States. We don't give (the Blackwell) chip to other people.
Well, for those unaware, in recent days, President Trump has expressed that the NVIDIA-China situation is entirely between the two parties, with the US government acting as an arbitrator between them; hence, the latest comments do come as a surprise. However, for NVIDIA, the situation in China keeps getting worse with each passing time, since not only is the firm facing restrictions from the USG, but the Chinese administration is also showing a 'hostile' behavior towards the company's AI chips, which is one of the biggest reasons behind the deadlock.
NVIDIA's Jensen Huang has repeatedly stated to the media that for his company, revenue from China has dropped to zero, and any breakthrough would mean a "bonus." Despite a bold stance, it's evident that Team Green is missing out on "tens of billions" in revenue from the Chinese AI market, and before the export controls were implemented, Beijing accounted for a massive share of the company's revenue. With the recent statement by President Trump, it appears that NVIDIA is stuck with its Hopper H20 AI chip for China, which is also not gaining widespread adoption.
The situation is becoming pretty interesting for NVIDIA, to the point where hopes of seeing a China breakthrough are slimmer than ever.
News Source: Reuters
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