NVIDIA’s H20 AI Chips Set for China Return Amid Shifting Tech Relations

NVIDIA is poised to resume sales of its H20 AI chips to China after securing U.S. government assurances on export licenses. The MOVE reverses a 2025 ban that cost the company billions in revenue and inventory write-offs. CEO Jensen Huang confirmed readiness to deliver, signaling a potential thaw in U.S.-China tech tensions.

China remains critical to NVIDIA’s dominance, contributing $17 billion (13% of revenue) last fiscal year. Despite competition from Huawei, Chinese firms still rely heavily on NVIDIA’s CUDA platform. Huang recently called China a 'massive, dynamic, and highly innovative' market during a Beijing visit.

The H20 chips were originally designed for China following 2023 restrictions. Their return could strengthen NVIDIA’s position in the global AI race while navigating complex geopolitical currents. The company continues balancing market access with compliance to evolving export controls.