The U.S. Commerce Department has begun issuing licenses allowing Nvidia to export its H20 chips to China, a U.S. official told Reuters on Friday, removing a major barrier to the AI leader’s access to one of its key markets.
The move follows last month’s reversal of an April ban on sales of the H20, a chip Nvidia designed specifically for the Chinese market to comply with Biden-era AI export restrictions. Nvidia had warned that the curbs would cut $8 billion from July-quarter sales.
Nvidia CEO Jensen Huang met with President Donald Trump on Wednesday, two sources familiar with the matter said. The company declined to comment, and the White House has not responded to requests for comment.
Nvidia had said in July that it was applying for licenses to resume H20 shipments to China and expected swift approval. It remains unclear how many licenses have been issued, which companies can receive the chips, or the total value of shipments permitted.
The chipmaker disclosed in April an expected $5.5 billion charge from the restrictions, later revising the figure down by $1 billion after reusing some materials.
Last month, Nvidia denied Chinese claims that the H20 chip contained “backdoors” allowing remote access or control. The Financial Times was first to report Friday’s licensing developments.
