Nvidia and AMD will allocate 15% of their revenues from chip sales in China to the US government to obtain export licenses for the Chinese market. This unprecedented revenue-sharing condition specifically applies to Nvidia's H20 chips and AMD's MI308 chips. Export control experts noted that this arrangement is unique, as no US companies have previously paid a portion of their revenues for such licenses. Nvidia tailored the H20 microprocessor to comply with the US's AI chip export controls after a reversal of an earlier ban.
Nvidia and AMD have agreed to give the US government 15% of their revenues from chip sales in China as a prerequisite for export licenses.
The revenue share arrangement includes Nvidia's H20 chips and AMD's MI308 chips, marking an unprecedented condition for obtaining export licenses.
No US company has previously consented to paying a portion of revenues for export licenses, making this agreement uniquely significant in trade practices.
Nvidia has tailored its H20 microprocessor specifically for the Chinese market to comply with AI chip export controls established during the Biden administration.
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