As Nvidia reviews earnings for the primary quarter of its fiscal 12 months 2026, which closed on April 28, the corporate has launched numbers on how the Trump administration’s latest chip export restrictions are affecting enterprise.
Nvidia reported that it incurred a $4.5 billion cost in Q1 as a result of licensing necessities impacting its skill to promote its H20 AI chip to corporations in China. The chipmaker additionally reported that it was unable to ship an extra $2.5 billion of H20 income within the quarter because of the restrictions.
When the U.S. licensing requirement was initially introduced in April, the corporate stated that it anticipated $5.5 billion in associated fees for Q1.
Nvidia additionally stated Wednesday that the H20 licensing necessities will lead to an $8 billion hit to the corporate’s income in Q2, which is predicted to be round $45 billion — a major toll.
The firm has been outspoken in opposition to the Trump administration’s push to restrict the export of U.S.-made AI chips to nations together with China. Huang praised the administration’s latest resolution to scrap Joe Biden’s Artificial Intelligence Diffusion Rule that may have imposed additional chip export restrictions.
Despite Biden’s chip export guidelines not coming to bear, Nvidia is clearly not proof against the Trump administration’s try to stifle China’s AI market.
TechCrunch will replace this story as we study extra.
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