WASHINGTON – In a move described as "unprecedented," tech giants Nvidia and AMD have reportedly struck a deal with the U.S. government to pay 15% of their Chinese revenue in exchange for export licenses. This agreement, first reported by the Financial Times, allows the companies to sell their specialized AI chips, including Nvidia's H20 and AMD's MI308, to the Chinese market.

Sources indicate that the Trump administration has not yet decided how to use the funds. The deal follows a meeting between Nvidia CEO Jensen Huang and President Trump. While critics, including some national security experts, argue the deal could weaken U.S. technological superiority, the administration views it as a new approach to trade and national security. The Commerce Department has begun issuing the long-awaited export permits.