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Trump says he's open to letting Nvidia sell a downgraded version of its most advanced chip to China

1. Trump signals openness to Nvidia selling downgraded Blackwell chips to China. 2. A deal might reduce Blackwell performance by 30% to 50%. 3. Nvidia agreed to pay 15% cut on sales to China for export licenses. 4. Downgraded chips could mitigate losses from U.S. export restrictions. 5. Huawei is developing its processors to compete with Nvidia.

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FAQ

Why Bullish?

Approval to sell downgraded chips can open new revenue streams, similar to prior Nvidia expansions into China.

How important is it?

The prospect of generating new revenue through China amid export restrictions is significant.

Why Short Term?

Immediate market reaction expected due to potential chip sales to China, influencing quarterly earnings rapidly.

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