Earlier news indicated that the US government reached an agreement with NVIDIA and AMD, requiring the two semiconductor companies to pay a tax when exporting certain AI chips to China.15% of revenueAs a profit sharing, this move is seen as a strategy of the government to use export licenses as a pressure tool. However, NVIDIA CFO Colette Kress earlier in her new earnings conference callEmphasizeIf the US government does not formally formulate relevant regulations, NVIDIA will not pay this 15% revenue.
The wrestling arena between political manipulation and business trends
Related reports indicate that the Trump administration proposed this unconventional measure, requiring NVIDIA and AMD to share a portion of the revenue from product sales to China in exchange for export licenses. This move is interpreted as a "solution" to NVIDIA's original inability to provide H20 AI chips to the Chinese market. However, the relevant policy content is still in draft form and is only in the preliminary agreement stage. It has not gone through the formal process to become a formal decree.
Therefore, as far as NVIDIA's current position is concerned, unless the US government explicitly legislates and makes this a formal regulation, there is no legal obligation to pay revenue as profit sharing.
NVIDIA also pointed out that if the policy is enforced, it could lead to subsequent litigation, increased costs, and even hinder subsequent market competition. NVIDIA emphasized that if the government forcibly intervenes in the form of revenue sharing, it could trigger legal action, increase operating costs, and potentially give competitors not subject to such requirements an advantage, which would impact NVIDIA.
Driven by the AI boom, NVIDIA's revenue hits a new high
Driven by the current AI wave, NVIDIA's second-quarter financial report for fiscal year 7, ending July 27, set a record of US$2025 billion in revenue, a 467% year-over-year increase, and US$56 billion in net profit. This demonstrates that even though the company recently failed to sell its H264 AI chips to the Chinese market, its overall performance remains astonishing, and it has maintained annual growth of over 20% for nine consecutive quarters.
NVIDIA originally expected the H20 AI chip to generate $80 billion in revenue, but due to the US government's concerns that this AI chip would be used for military purposes, it ordered a ban on the sale of this chip to China. As a result, the H20 AI chip's shipment sales in the last quarter only reached $1.8 million, and even then, it was only sold to customers in the non-Chinese market.
However, the market claims that NVIDIA has adjusted its product strategy and is currently developing a graphics card based on the Blackwell display architecture.New chip, will also target sales in the Chinese market.
