Main to remember
- NVIDIA said he should take charge of $ 5.5 billion in the first quarter after the US exports of his artificial intelligence chips (AI) in China.
- The news, the latest burst of an escalation of the trade war between Washington and Beijing, sent the actions of the company to tumble in trading before marketing on Wednesday.
- The Chinese Commerce Ministry also imposed export controls by AMD sales of its ia chips there.
NVIDIA (Nvda) said that he planned to take an charge of $ 5.5 billion in his first quarter of the 2026 fiscal year after US exports limited his exports Artificial Intelligence (AI) Chips in China.
The news, the Last salvo In a commercial escalation between Washington and Beijing, sent the actions of the company plumming approximately 6% in pre-Market trade on Wednesday.
The company declared in a regulatory file on Tuesday evening that it had been informed by the United States government on April 9 that it would be required to have an export license “for the indefinite future” to sell its Chips H20 to China. NVIDIA said the license requirement aims to resolve the risk that the chip is “used or diverted in a supercomputer in China”. The chip is less powerful than its most recent and custom made To respect the existing export limits for the Chinese market.
The results of the first quarter of Nvidia, which are scheduled for May 28, should include the costs of $ 5.5 billion “associated with H20 products for stocks, purchase commitments and related reserves,” he said. According to Morningstar search“China has decreased to around 10% of NVIDIA income, compared to 20%, and we are now expecting it to be almost zero.”
The New York Times said that spokesperson for the US trade department said “that the administration issued new export license requirements for the NVIDIA H20; a micro-devotee chip, the MI308; and their equivalents”. AMD (Dmla)) Actions also fell by around 6% of pre-commercial exchanges.