Nvidia’s hit from being caught in the US-China tech war isn’t as bad as expected
CNN
Nvidia missed out on $2.5 billion in additional revenue during the first quarter of this year, after the Trump administration placed fresh restrictions on exports of its H20 artificial intelligence chips to China last month.
Nvidia missed out on $2.5 billion in additional revenue during the first quarter of this year because it had to stop shipping its H20 artificial intelligence chips to China after the Trump administration instituted fresh export restrictions last month. Despite those unearned sales — revealed in the company’s earnings report Wednesday — Nvidia took a smaller blow from the new H20 restrictions during the quarter than expected. It took a $4.5 billion charge in the quarter associated with excess H20 inventory and purchase obligations it couldn’t fill because of the export controls, although it had warned investors last month the hit might be as high as $5.5 billion. Investors had been watching the impact of the H20 export controls because they underscore Nvidia’s increasingly tenuous position at the center of an increasing US-China trade and tech war. The smaller than expected charge is likely to be viewed as a positive sign, although the company added it expects to lose out on another $8 billion in revenue during the second quarter because of the H20 controls. Nvidia’s shares rose 3.5% in after-hours trading following the report. Nvidia last year released the H20 chip to accommodate stringent US export controls to China while maintaining access to the market, which accounted for around 13% of its sales last year. But in April, the White House told the company it would need a special license to export the H20 — which is widely believed to have contributed to the powerful Chinese AI model DeepSeek — to China. Nvidia CEO Jensen Huang has called US chip export controls a “failure.” Huang told analysts on a call Wednesday evening that Nvidia is exploring how else it can compete in China, but reiterated his opposition to the export controls.
A major congressional watchdog has opened an investigation into Federal Housing Finance Agency Director Bill Pulte, who has helped spark probes into several of President Donald Trump’s perceived political enemies, over possible misuse of authority.
The lawsuit, set to be filed in federal court in Washington, DC, names the Defense Department, Defense Secretary Pete Hegseth and the chief Pentagon spokesman, Sean Parnell, as defendants.
The “CBS Evening News” needs a new anchor — and soon.
President Donald Trump is pushing for an extension of soon-to-expire enhanced Obamacare subsidies – a key Democratic demand that Republicans fought fiercely and that was the basis for the longest-ever government shutdown.
The biggest event in New Zealand Thursday may have been the opening of a furniture store.
Even if you believe you haven’t yet been directly impacted by climate change, your wallet will feel its effects soon, according to a new study.
Small businesses are “starting to crack” amid a weakening economy, rising inflation and fickle consumers; and they drove job losses in the US private sector in November, new data showed Wednesday.
Prepare for automotive sticker shock next year – again.
Constellation Brands, the US owner of Modelo Especial and Corona, bet big on Latino customers for growth. But that strategy is unraveling under the Trump administration’s mass deportation push.
The European Union agreed Wednesday to phase out Russian natural gas imports by late 2027 as part of an effort to end the bloc’s decade-long dependency on Russian energy.
US wireless carrier AT&T said in a letter to the US telecoms regulator that it had committed to ending diversity, equity and inclusion programs, a move that comes as it seeks approval from the Trump administration to buy wireless spectrum assets.
Larry Summers has been banned for life from the American Economic Association, a professional organization for economists, with more than 17,000 members, over his ties to the late sex offender Jeffrey Epstein.
The US labor market has weakened over the course of the year as hiring has stalled across many industries. The national unemployment rate has ratcheted higher in the process, hitting 4.4% in September.