NVIDIA is getting serious! CFO Kress: Trump regulations are undecided, 15% profit sharing is off the table.

Trump previously stated that he has privately reached an agreement with NVIDIA ( and AMD ) to extract a 15% profit share from their chip sales revenue to China as a condition for reopening the Chinese market. However, NVIDIA’s CFO Colette Kress stated in an interview that Trump’s profit-sharing plan has not been finalized, and as long as no formal regulatory documents are issued, the payment will not be made.

The United States reopens chip exports, and Trump seizes the opportunity to take a cut.

The time goes back to Biden’s ( Joe Biden ) administration, when Biden had restricted the export of high-end AI chips to China, while U.S. chip makers like NVIDIA and AMD launched lower-spec chips ( H20 and MI300 series ) to cope.

However, after Trump took office in April, he further strengthened regulations, forcing Nvidia to report a loss of up to $5.5 billion for H20 chips in its Q1 financial report this year. Subsequently, in August, the Trump administration reissued export licenses, allowing Nvidia and AMD to resume sales to China, but demanded a 15% revenue sharing cut on sales of chips to China in order to pass customs.

( Nvidia H20 chip faces export restrictions to China! Estimated loss of 5.5 billion USD, down 6.3% after hours )

NVIDIA CFO: “No formal documents provided, profit sharing is off the table.”

Although NVIDIA and AMD have reached a profit-sharing agreement with Trump, NVIDIA’s CFO Kress revealed during an interview with Bloomberg this morning on 8/29 that the Trump administration has not clearly outlined how the commission plan will be implemented so far, and both parties are still in the communication stage. Kress stated:

“If NVIDIA obtains the export license before Trump’s official documents are released, we will start shipping. This means that NVIDIA does not need to pay the 15% profit share without regulatory basis.”

In this regard, neither the White House nor the spokesperson for the U.S. Department of Commerce has responded. Meanwhile, Bloomberg also quoted Nvidia’s documents stating that if the Trump administration insists on requiring a cut, it will lead to Nvidia being embroiled in lawsuits, increase costs, and weaken competitiveness, ultimately benefiting competitors who are not subject to such restrictions.

( Trump: Has reached an agreement with Nvidia and AMD to extract 15% of China’s chip revenue in exchange for exports )

H20 dragged NVIDIA to a loss of nearly 4.4 billion dollars, and Blackwell is highly anticipated.

According to NVIDIA’s latest financial forecast, the sales of H20 chips in the Chinese market are currently not included in the revenue outlook due to political and policy uncertainties. NVIDIA also revealed that overall in the first half of the year, the impact of H20 still resulted in a loss of $4.358 billion.

However, Kress stated that she believes some revenue will flow back over time, but she cannot grasp the exact timing. On the other hand, CEO Jensen Huang ( is optimistic that the new generation of Blackwell architecture chips is expected to enter the Chinese market and revealed that President Trump is also open to this. He emphasized that it is crucial for American tech companies to maintain their lead in the AI competition.

Overall, it remains to be seen whether Trump’s 15% profit-sharing official document will be expedited due to NVIDIA’s strong response. As for how NVIDIA will compensate for the nearly $4.4 billion loss from H20, it is also worth following up.

This article NVIDIA is getting tough! CFO Kress: Trump regulations are uncertain, 15% profit sharing is off the table. First appeared in Chain News ABMedia.