President Trump accuses Nvidia of a “colossal economic and national security failure” for allowing it to sell powerful AI chips to China – Business Live | Business Live Jobs

AI For Business


Introduction: President Trump clears the way for Nvidia to sell powerful AI chips to China

good morning. Welcome to our regular coverage of business, financial markets and the global economy.

donald playing cards The country has been accused of a “gross economic and national security failure” for allowing this. Nvidia Export H200 artificial intelligence chip to China.

The President of the United States announced last night that he had authorized this. Nvidia In exchange for a 25% surcharge to the United States, it will be allowed to ship H200 chips to China, potentially allowing the world's most valuable company to recoup billions of dollars in lost business.

playing cards Posted on his Truth Social site:

“I have informed President Xi of China that the United States will allow NVIDIA to ship H200 products to authorized customers in China and other countries, under conditions that allow for continued strong national security.

President Xi reacted positively! ”

news has been released Nvidia's The stock rose 2.3% in after-hours trading on Wall Street.

However, this was quickly criticized by some senior Democratic senators. Jeanne Shaheen and chris Kuhn — Two top Democrats on the Senate Foreign Relations Committee — jack leadDemocratic Chairman of the Senate Armed Services Committee, and elizabeth warrenRanking Member of the Senate Banking Committee.

They and other Democratic senators urged President Trump to reverse his decision:

“The Trump administration's announcement to allow exports of the advanced H200 AI chip to China is a colossal economic and national security failure. The H200 is far more powerful than anything China can manufacture, and gifting it to China would squander America's key advantage in the AI ​​race.”

“Access to these chips would give China access to military-transforming technology that would make its weapons more lethal, carry out more effective cyberattacks against American businesses and critical infrastructure, and strengthen its economic and manufacturing sectors.As recently as last week, Chinese artificial intelligence giant DeepSeek said its lack of access to advanced U.S.-designed AI chips was its biggest obstacle to competing with American artificial intelligence companies.With this decision, President Trump is poised to remove that barrier.”

“Both Senate Democrats and Republicans know that the 21st century will be determined by whether major AI systems are built on the values ​​of a free society and free markets or the repressive and authoritarian values ​​of the Chinese Communist Party. The Trump administration clearly does not understand the urgency of this competition. President Trump needs to reverse course and recommit to maintaining America's dominance in AI.”

In October, Nvidia CEO Jensen Huang said the company's market share in China had gone from 95% to 0% and called banning sales to China a “strategic mistake.”

Selling the H200 chips to China, the world's second-largest economy, could mean a windfall worth billions of dollars for Nvidia, which is already valued at $4.5 trillion.

agenda

  • 8am GMT: UK Grocery Inflation Report

  • 2:15pm (GMT): Treasury Committee hearing with Bank of England Monetary Policy Committee members

  • 3pm GMT: House of Lords Economics Committee hearing: “Is the OBR playing an effective role?”

share

main events

Nvidia: We applaud President Trump's decision

President Trump's decision comes after months of lobbying by NVIDIA CEO Jensen Huang, so it's no surprise that the company welcomed the decision.

“We applaud President Trump's decision,” an Nvidia spokesperson said. He added that making the H200 chip “available to commercial customers vetted and approved by the Department of Commerce strikes a great balance for the United States.”

share



Source link