Nvidia expects to lose billions in revenue due to H20 chip licensing requirements

Core Insights - Nvidia reported significant financial impacts due to the Trump administration's chip export restrictions, with a $4.5 billion charge in Q1 and an inability to ship an additional $2.5 billion in H20 AI chip revenue [2][3] - The company anticipates an $8 billion revenue hit in Q2, with projected revenue around $45 billion, indicating a substantial effect on its financial outlook [3] - Nvidia has publicly opposed the export limitations, highlighting the adverse effects on its business and the AI market in China [3][4] Financial Impact - In Q1, Nvidia incurred a $4.5 billion charge related to licensing requirements affecting sales to China [2] - The company was unable to ship $2.5 billion worth of H20 AI chips due to these restrictions [2] - For Q2, Nvidia expects an $8 billion revenue loss, which is a significant portion of its projected $45 billion revenue [3] Regulatory Context - The company criticized the Trump administration's export restrictions while welcoming the decision to scrap Biden's proposed Artificial Intelligence Diffusion Rule, which would have imposed further limitations [3][4] - Despite the cancellation of Biden's rules, Nvidia remains affected by the existing restrictions from the previous administration [4]