Nvidia(US:NVDA) Guan Cha Zhe Wang·2025-07-16 03:22Core Viewpoint - The U.S. government has reversed its previous ban and allowed NVIDIA to sell its H20 chips to the Chinese market, which is seen as a strategic move to maintain competitiveness against Chinese tech companies [1][4]. Group 1: U.S. Policy Changes - The U.S. government initially imposed a ban on the export of H20 chips to China but has now approved the sale, indicating a shift in policy [1][4]. - David Sacks, the White House AI and cryptocurrency affairs head, defended the decision, stating it would help the U.S. maintain a competitive edge and prevent Chinese companies from gaining market share [1][3]. Group 2: Implications for NVIDIA and AMD - NVIDIA's H20 chip is a "degraded version" designed specifically for the Chinese market, and the approval for its export is crucial for NVIDIA, potentially generating billions in sales [4]. - AMD has also confirmed it will resume exports of its restricted MI308 chips to China, indicating a broader trend of easing restrictions on U.S. chip manufacturers [1][4]. Group 3: Strategic Competition - Sacks emphasized that the U.S. is in a "zero-sum game" with China, and allowing U.S. companies to compete in the Chinese market is essential for maintaining technological leadership [3][4]. - The future of global market share in AI technology is framed as a competition between U.S. companies like NVIDIA and Chinese firms, with a target of 80% market share for U.S. companies in five years [3][4]. Group 4: Broader Context - The easing of restrictions comes amid signs of thawing relations between the U.S. and China, with both sides negotiating on technology export approvals [5]. - The Chinese government has expressed opposition to the politicization of technology and trade issues, emphasizing the need for stable global supply chains [5].