Overview

• The Commerce Department has begun issuing export licenses for Nvidia’s H20 and AMD’s MI308 chips after the 15% revenue-share agreement was confirmed this week
• Nvidia and AMD will each remit 15% of their China sales revenue—applied to H20 and MI308 respectively—as a condition for resuming exports
• Nvidia says it hasn’t shipped H20 to China for months and follows US export rules; AMD has declined to comment on the arrangement
• US officials have not yet decided how the funds will be used, drawing scrutiny from lawmakers and export-control experts
• Critics warn the unprecedented quid pro quo could weaken the security basis for controls and erode alliances, and China’s regulators are probing H20 security risks