$NVIDIA(NVDA)$ and $Advanced Micro Devices(AMD)$ have reportedly agreed to pay the US government a 15% revenue share on sales of certain AI chips to China. This arrangement allows them to obtain export licenses for their chips, specifically Nvidia's H20 and AMD's MI308, which were developed to comply with US export restrictions.
*Key Points:*
- *Revenue Share:* Nvidia and AMD will pay 15% of their revenue from sales of these chips to the US government.
- *Export Licenses:* The US government has started issuing licenses to Nvidia and AMD, enabling them to sell their chips to China.
- *Chip Specifications:* The H20 and MI308 chips are designed to meet US export restrictions while still providing significant computing power for AI applications.
- *Estimated Earnings:* The US government could earn over $2 billion
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