Overview

• The US government has mandated indefinite export licenses for Nvidia's H20 AI chips, citing national security concerns tied to potential use in Chinese supercomputers.
• Nvidia disclosed a $5.5 billion writedown for Q1 2026, with analysts predicting China sales could drop to nearly zero due to licensing challenges.
• Following the restrictions, Nvidia's stock plunged nearly 7%, erasing over $250 billion in market capitalization since the announcement.
• CEO Jensen Huang traveled to Beijing, meeting Chinese officials and emphasizing Nvidia's commitment to maintaining business ties with China despite the restrictions.
• The US House Select Committee on China launched an investigation into whether Nvidia chips were diverted to firms like DeepSeek, raising concerns about export rule compliance.