Nvidia said late Monday it should soon resuming selling its H20 artificial intelligence chip to Chinese customers, after the U.S. government told the company that it would grant licenses. Nvidia stock rose solidly early Tuesday, along with Advanced Micro Devices, Taiwan Semiconductor and more.
The H20 GPU was designed specifically to comply with U.S. government restrictions on exports of advanced chips to China. But the Trump administration halted those sales in April.
Nvidia is filing applications to sell the H20 GPU again. "The U.S. government has assured NVIDIA that licenses will be granted, and NVIDIA hopes to start deliveries soon," the company said in a statement.
The H20 win follows CEO Jensen Huang's meeting last week with President Donald Trump and meetings with Chinese government and industry officials Monday.
Huang, in the company release, also announced a "fully compliant" RTX Pro GPU.
Nvidia Stock Rises
Nvidia stock rose jumped 4.5% early Tuesday. NVDA stock edged down 0.5% on Monday from Friday's record highs, but still held a $4 trillion market cap.
AMD stock leaped 4.9% to 153.34, signaling a move past an aggressive entry of 147.75, as the expected clearance of Nvidia's H20 bodes well for AMD sales to China. Shares edged down 0.1% to 146.24.
Broadcom rose more than 1%, near record highs.
Taiwan Semiconductor stock climbed more than 2%. Taiwan Semi, which reports Q2 earnings on Thursday, makes chips for Nvidia, AMD, Broadcom and more.
Super Micro Computer popped 3.9%. The AI server maker is an Nvidia partner. SMCI stock rose 1% to 49.73, arguably actionable.
Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
