Mondelēz CEO: Cocoa prices have been 'unprecedented'
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNBC
27 minutes ago
- CNBC
Trump says he asked for 20% cut from Nvidia, calls H20 an 'obsolete' chip
President Donald Trump on Monday said that he initially asked Nvidia for a 20% cut of the chipmaker's sales to China, but the number came down to 15% after CEO Jensen Huang negotiated with him. The comments came after news broke over the weekend that Nvidia agreed to pay the federal government a 15% cut in return for receiving export control licenses that will allow it to once again sell the H20 chip to China and Chinese companies. Nvidia's Huang visited Trump in the White House on Friday. "I said, 'listen, I want 20% if I'm going to approve this for you, for the country,'" Trump said in a press conference in Washington. Trump said that Nvidia's H20 is an "old chip that China already has" and is "obsolete." He compared the H20 chip to Nvidia's current fastest artificial intelligence chip, which is called Blackwell, and said that he wouldn't allow those to be sold to China without significant downgrades, such as a 30% to 50% reduction in performance. "The Blackwell is super-duper advanced. I wouldn't make a deal with that," Trump said, adding that it was possible to make a deal for a "somewhat enhanced in a negative way" version of Blackwell. "That's the latest and the greatest in the world. Nobody has it. They won't have it for five years," Trump said. One reason for the U.S. export controls is fear that providing advanced chips to China could allow the foreign power to leapfrog the U.S. in AI capabilities. Many have said that could pose a threat to the national security of the U.S. Trump said that China already has chips with some similar capabilities to the H20. Huang has said that it is better for U.S. national security if Chinese AI developers use U.S. technology, and that denying them access to Nvidia chips would actually encourage the Chinese chip industry to develop and catch up. "He's selling a essentially old chip," Trump said. "Huawei has a similar chip." The H20 is a Chinese-specific chip that has had its performance slowed down. It is related to Nvidia's H100 and H200 chips that are used in the U.S. The H20 was introduced after the Biden administration implemented export controls on AI chips in 2023. In April, the Trump administration said it would require a license to export the H20 chip, and in May, Huang said that "effectively closed" the market off to Nvidia. Huang said that Nvidia was expecting to sell about $8 billion in H20 chips in the July quarter before sales were stopped. "While we haven't shipped H20 to China for months, we hope export control rules will let America compete in China and worldwide," an Nvidia spokesperson told CNBC on Monday. Trump on Monday also said that Huang plans to visit him again to negotiate export licenses for the Blackwell chips. "I think he's coming to see me again about that," Trump said. A White House official confirmed to CNBC that AMD, the second-place AI chip maker, will also pay 15% to receive an export license for its China-focused AI chip, the Instinct MI308.
Yahoo
44 minutes ago
- Yahoo
Trump Teases Tariffs on Foreign Chips in the 'Next Week or So'
President Trump hasn't forgotten about tariffing foreign chips. In an interview with CNBC, Trump indicated he'll introduce tariffs on semiconductors as soon as next week, alongside other duties targeting imports, such as pharmaceuticals. "And within the next week or so, we're going to be announcing tariffs specifically. This is a separate class than the 15% tariffs on sort of everything,' he said, referencing the tariffs he announced last week on goods from the European Union, Japan, and over a dozen other markets. "We're going to be announcing [tariffs] on semiconductor and chips, which is a separate category because we want them made in the United States," Trump added. The president didn't provide details or say if any exemptions will be granted. But the policy will no doubt raise concerns about increased costs for PC processors and a wide variety of electronics that use foreign-made chips. Currently, Apple, AMD, Qualcomm, Nvidia, and even Intel source at least some chip production from Taiwan's TSMC. Although TSMC has started chip production at its first fab in Arizona, a bulk of its semiconductor production is still based in Taiwan. As a result, the contract chip maker urged the Trump administration in May to exempt the company from such tariffs, which it fears will threaten US chip demand. 'It could also undermine TSMC's financial capacity to timely execute its ambitious Arizona project,' the company said, which includes plans for six fabs in the state. In April, Trump exempted chips, smartphones, and laptops from his "reciprocal tariffs' on China. But at the same time, the Trump administration signaled it would eventually tariff Chinese-made electronics separately through a special category of duties. 'We are taking a look at Semiconductors and the WHOLE ELECTRONICS SUPPLY CHAIN in the upcoming National Security Tariff Investigations,' Trump posted on Truth Social at the time. 'What has been exposed is that we need to make products in the United States, and that we will not be held hostage by other Countries, especially hostile trading Nations like China.'
CNBC
an hour ago
- CNBC
Nvidia, AMD to pay U.S. 15% of AI chip sales in China to secure export licenses
CNBC's Eamon Javers joins 'Halftime Report' to discuss the latest trade negotiation headlines from Trump's morning presser.
