The export restrictions on the H20 chip are expected to have a major impact on NVIDIA's sales. The company has warned that these curbs will cut its revenue by $8 billion in the July quarter. In April, NVIDIA had predicted a $5.5 billion charge due to these restrictions but later revised it down by $1 billion as some materials could be reused.

The commerce department has started issuing licenses to Nvidia to export its H20 chips to China, a U.S. official told Reuters on Friday, removing a significant hurdle to the AI bellwether's access to a key market.

The US commerce department has started issuing licenses to Nvidia to export its H20 chips to China, an official said, removing a significant hurdle

It is unclear how many licences may have been issued, which firms Nvidia was permitted to ship to, and the value of the shipments allowed.

The United States’ Commerce Department has started issuing licences to Nvidia to export its H20 chips to China, a US official told Reuters

In a dramatic twist in the global AI competition, Malaysia has entered the spotlight by imposing new trade permit regulations on high-end AI chips developed in the United States. Why would a Southeast Asian nation suddenly restrict the flow of the world's most powerful processors?

As the US and China look for any sort of leverage in a prolonged trade fight, Beijing sees an opportunity to win over the world by taking a stand against the Trump administration's plans to track high-end chips.