Bloomberg Intelligence Nvidia, AMD to Pay US 15% of China Chip Sales in Trump Deal
9 snips
Aug 11, 2025 
Ed Ludlow, a Bloomberg Technology Co-Host from London, breaks down a significant deal where Nvidia and AMD will pay 15% of their revenue from AI chip sales in China to the U.S. for export licenses. Brendan Murray, Bloomberg's Global Trade Editor, highlights the pressures of tariffs on small U.S. companies, revealing a staggering $200 billion annual impact. They discuss how these financial burdens affect cash flow and operational stability, painting a stark picture of the current economic climate for small businesses.
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US Export Levy For China AI Chips
- Nvidia and AMD would give 15% of China AI-chip revenues to the U.S. for export licenses.
- The levy could cost them billions but restores some market access.
Market Access Beats Zero Sales
- Executives prefer 15% revenue over zero access to China.
- Nvidia warns losing access hands market to domestic champions like Huawei.
China May Push Back On Imports
- China worries GPUs could pose security risks amid backdoor accusations.
- Beijing may favor domestic leader Huawei and resist U.S. chips even if permitted.