Bessent sees 15% cut on Nvidia, AMD AI chip sales to China
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Nvidia and AMD agreeing to give 15% of their China chips revenue back to the U.S. doesn't recall any deal ever struck by the U.S. government.
Tight supply enables Nvidia to pass much of the 15% dent to customers, keeping margin erosion to a minimum while keeping China in its customer base. Nevertheless, the risks remain, especially if Beijing discourages approved chip purchases, undercutting demand.