Sources: Nvidia and AMD agreed to pay the US government 15% of H20 and MI308 chip revenue from China sales, as a condition of export licenses granted last week

Chipmakers agree to unusual arrangement to secure export licences from Trump administration — Nvidia and AMD have agreed …

Financial Times 2025-08-11

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NewsMax.com Newsmax Wires on x
Nvidia, AMD to Pay US 15 Percent of Chip Sales to China
@toddntucker.com Todd Tucker on bluesky
US to get 15% profit sharing from China sales — Just the latest way that Trump is scrambling our political economy - taking an idea advocated by the left (profit sharing), and applying it a totally bizarre fashion that mixes rent-seeking, industrial policy, and geopolitics. — …
@robertscotthorton Scott Horton on bluesky
FT openly calls the Nividia AI deal an export tariff, which is what it is. Export tariffs are outlawed by the US Constitution. www.ft.com/content/cd1a...
@davidheniguk David Henig on bluesky
Payola. That supposed new US “global” trade system seems to have as one of its core anchors simple bribery. www.ft.com/content/cd1a...
@thebluenami.is.democrat @thebluenami.is.democrat on bluesky
“In a highly unusual arrangement” — IT'S CALLED BRIBERY NYTIMES! or are you too feckless to call out what's staring all of us right in the face? — and yes, NVIDIA said YES to this so they could make billions off of china chip sales — 🧵 — www.nytimes.com/2025/08/10/t...
@fbajak Frank Bajak on bluesky
Former director for China at the U.S. National Security Council: “This is the Trump playbook applied in exactly the wrong domain. You're selling our national security for corporate profits.” www.nytimes.com/2025/08/10/t.... For a share of those profits, to be exact.
@tdcheetah @tdcheetah on bluesky
I read the article, and even though it *is* 2025, I'm *still* dumbfoundedly having trouble believing what I'm reading.
@kevinmulhall Kevin Mulhall on bluesky
Ooooh, so the problem wasn't allowing advanced AI tech to be sold to China, it was doing it without a kickback to Trump! — Now we understand. — www.nytimes.com/2025/08/10/t...
@past-tense J.S. on bluesky
Corporations willing to pay bribes, but unwilling to pay taxes will never cease to amaze me. [embedded post]
@markriedl Mark Riedl on bluesky
It's too dangerous for China to have chips. Unless the chip companies give the White House a kickback. [embedded post]
@caseynewton Casey Newton on bluesky
The degree to which the US economy now runs on open bribery continues to amaze [embedded post]
@amanbatheja Aman Batheja on bluesky
“The quid pro quo arrangement is unprecedented. According to export control experts, no US company has ever agreed to pay a portion of their revenues to obtain export licences.” — Nvidia and AMD agree to give US government 15% of revenues from chip sales to China, FT reports
@davelee.me Dave Lee on bluesky
“The quid pro quo arrangement is unprecedented. According to export control experts, no US company has ever agreed to pay a portion of their revenues to obtain export licences.” — Tell me again about how Biden was interfering too much... [embedded post]
@amitisinvesting Amit on x
Trump on the $NVDA $AMD 15% revenue share: “I wanted 20%, but Jensen negotiated me down to 15%. We are only doing this for the H20 chips. We may do this for Blackwell, but it would be a lesser version of the most powerful Blackwell chip.” [video]
@shakeelhashim Shakeel on x
New on Transformer: Donald Trump is making Chinese AI great again. Giving China access to Nvidia's H20s for a couple billion dollars might end up being the costliest deal America ever makes. [image]
@petereharrell Peter Harrell on x
In addition to the policy problems with just charging Nvidia and AMD a 15% share of revenues to sell advanced chips in China, the US Constitution flatly forbids export taxes.
@miles_brundage Miles Brundage on x
Sad to say but it seems like the most likely reason China might pull ahead of the US on AI, by far, is just that the US might keep relaxing chip export controls bit by bit for no clear reason.
@mattzeitlin Matthew Zeitlin on x
Trump seems very interested in maximizing tariff, investment pledges, and now I guess export taxes as some kind of trade scorecard to balance against the trade deficit
@nxthompson @nxthompson on x
So the argument is that selling advanced chips to China is a dire national security threat — unless the US Government gets some cash, in which case it's ok?
@reichlinmelnick Aaron Reichlin-Melnick on x
On its face this seems to functionally be pay-for-play; a U.S. company is paying the government in exchange for granting of an export license, a payment the government apparently made mandatory as a condition of granting the license. [image]
@dampedspring Andy Constan on x
So MAGA how is $NVDA and $AMD paying extortion fees to export to China a tax on China? I just need the spin. Oh also how is the bullish for US exporters? Thanks in advance for your response
@adamscochran Adam Cochran on x
If the chips are a national security concern we shouldn't export them at all. If they are not, then we shouldn't be charging US businesses for making money, like some banana republic! The “communist dictatorship” MAGA worried about is here: -export controls -government wanting
@constans @constans on x
Honestly, I wish democrats had realized “you can just do things.” You can extort American corporations if you want! CEOs will buckle and cry at your feet if you threaten them! CEOs are weak!
@mhdempsey Michael Dempsey on x
can we get some commentary from the anti-china trump tech crowd that has basically said we need to cut china off entirely and trump was the right guy for the job?
@jeffreywestling Jeffrey Westling on x
Ok so it's not a national security risk or it is but they paid off the regulator so it's fine?
@stocksavvyshay Shay Boloor on x
5 TAKEAWAYS ON $NVDA & $AMD 15% CHINA EXPORT TARIFF I think this changes how we view U.S. chipmakers in the AI era. The U.S.-China tech relationship still has unknowns, but the fact is Nvidia and AMD just locked in access to the world's largest AI market outside the U.S. — [image…
@joepostingg Joe on x
I know nobody cares about laws anymore, but this is like comically unconstitutional. [image]
@patrickmoorhead Patrick Moorhead on x
There could absolutely be some truth to $NVDA and $AMD paying USG 15% of revenue on H20s and MI308. If you look at the deals Lutnick and Bessent have been cutting on tariffs, there have been elements of shared success baked in. The Japan tariff plan has this. And then there's $MP…
@neoavatara Pradheep J. Shanker on x
This is cronyism of the highest level.
@scottlincicome Scott Lincicome on x
I have many questions https://www.bloomberg.com/...
@nominalthoughts Jason Harrison on x
If you can't beat the Chinese government, just become them I guess
@kobeissiletter @kobeissiletter on x
Most people don't realize how massive this announcement truly is. This covers 15% of REVENUE from China, not PROFIT, for both Nvidia and AMD. It also means the Trump Administration is now negotiating company-by-company “trade deals.” The trade war just entered a new era.
@policytensor @policytensor on x
This shift from rules-based to discretionary, deal-based governance have two unambiguous consequences: policy uncertainty ⬆️, negative-sum rent-seeking ⬆️. The attendant welfare losses are not only substantial but increase over time.
@noahpinion Noah Smith on x
What the fuck is this
@modeledbehavior Adam Ozimek on x
I don't really understand. It's a national security issue or it isn't. If it is, how does a tax mitigate the risk?
@dominicjpino Dominic Pino on x
It's not a threat to national security as long as the Treasury gets a cut, apparently.
@jukanlosreve Jukan on x
For reference, my estimate puts the H20's profit margin at 54%. If they have to give 15% of the revenue to the government, I think we can roughly say that about 39% would be left for NVIDIA.
@dastdn @dastdn on x
Abhorrent on every level. 1. We are extorting businesses like cheap mob thugs. 2. We are being bought off to allow China, our greatest geopolitical adversary, to continue pursuing tech dominance - including in AI, the most important arms race of the age. Shameful and pathetic.
@jakeauch Jake Auchincloss on x
So now the US government is financially motivated to sell AI to China? Makes me shudder to think what a TikTok deal might look like. https://www.nytimes.com/...
@stephenwertheim Stephen Wertheim on x
Quintessential Trump move, mirroring his stance on alliances. Rather than decide from a strategic perspective either to block H20 sales to China or to permit them, Trump opts to squeeze money out of them.
@miles_brundage Miles Brundage on x
??? The revenue from this is negligible compared to all the other impacts of the sales
@michaelsobolik Michael Sobolik on x
Holy cow. “The quid pro quo arrangement is unprecedented. According to export control experts, no US company has ever agreed to pay a portion of their revenues to obtain export licences.”
@varunkrovi Varun Krovi on x
🧐
@rwang07 Ray Wang on x
BIG: $NVDA and $AMD have reportedly agreed to give the US government 15% of the revenues from chip sales (H20 and MI308) in China, as a condition for obtaining export licences (for CN market). The Trump administration had not yet determined how to use the money, per person [image…
@dkaushik96 Divyansh Kaushik on x
“Nvidia said the claims were “misguided” and rejected the notion that China could use the H20 for military purposes.” [image]
@dimi Demetri on x
SCOOP - @Nvidia has done deal with Trump administration to pay US government 15% of revenues from #China H20 sales, in unprecedented quid pro quo for export licenses. https://www.ft.com/...
r/thebulwark r on reddit
I imagine that those apoplectic about five state-run grocery stores are either too distressed or celebrating the army take over of DC to opine on this …
r/Destiny r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
r/technology r on reddit
Nvidia and AMD to pay 15% of China chip sales revenues to the U.S. government, FT reports
r/neoliberal r on reddit
U.S. Government to Take Cut of Nvidia and AMD A.I. Chip Sales to China
r/politics r on reddit
U.S. Government to Take Cut of Nvidia and AMD A.I. Chip Sales to China
r/hardware r on reddit
U.S. Government to Take Cut of Nvidia and AMD A.I. Chip Sales to China
r/intelstock r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
r/China r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
r/Conservative r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
r/AMD_Stock r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
r/StockMarket r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
r/Economics r on reddit
Nvidia and AMD to pay 15% of China chip sale revenues to US government
@carnage4life Dare Obasanjo on bluesky
Still mind blown that we now have arbitrarily set import taxes (tariffs) and export taxes (15% revenue share from GPUs sold by Intel & AMD in China) with no actual laws written. — Congress is superfluous at this point. We just have a unitary executive.

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Sources: Nvidia and AMD agreed to pay the US government 15% of H20 and MI308 chip revenue from China sales, as a condition of export licenses granted last week

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