Jensen Huang Jedi-Mindtricks Trump Into Lifting H20 China Ban (Reverse Art of the Deal)

“My pronouns are he not him… because I’ll never be him” - Nvidia investors when asked about Jensen Huang, probably... 

So, turns out Jensen Huang can talk the U.S. government into anything if you give him a leather jacket, a PowerPoint deck, and five minutes alone with Donald Trump. The man, the myth, the legend… Obi Huang Kenobi… just scored a bigly diplomatic get-out-of-jail-free card: the U.S. has promised to green-light licenses for Nvidia to resume selling its H20 chips to China. Which is a hell of a plot twist considering the same government had these chips locked down tighter than an Amish prom two months ago. 

(Source: Giphy) 

If you recall, back in April, Washington decided that even the watered-down H20… basically Nvidia’s “anorexic” version of their flagship AI chips… was too zesty for Beijing. The ban was a dagger in Nvidia’s ribs because the H20 was tailor-made to skirt previous export controls and still tap into the Chinese tech cash fountain. When those doors slammed shut, Huang started running a full-court lobbying press, complaining that these rules weren’t just hurting Nvidia, but were handing China’s local chipmakers (hello, Huawei) a giant competitive edge. 

(Source: CNBC) 

Fast forward to last week, and Huang’s got a seat across from Trump, pitching the idea that cutting off China is great in theory, but not if it nukes America’s AI lead and leaves Nvidia holding warehouses full of unsold silicon. Reports suggest Huang gave #45 & #47 a whole “we’re all patriots here” spiel about onshoring and national security. Translation: Huang basically told Donnie Politics to let them sell their chips or the economy’s toast. Looks like it worked. 

(Source: Bloomberg) 

Which is why now, Nvidia says the U.S. government has “assured” them licenses will be granted. No timing yet, but they’re already prepping applications to ship H20s back into China. Naturally, vampire investors collectively lost their godd*m minds after-hours. Nvidia shares are mooning +4.47% pre-market on the Huang’s “Art of the Deal” on Trump, with Nasdaq futures surging, and Hong Kong tech stocks throwing a party as well. Case in point: Beijing Sinnet Technology popped 7.6%. 

Financially, this is a monster save for Nvidia. China’s been a cash cow for the company, even post-restrictions. Before the bans, China accounted for as much as a quarter of Nvidia’s data center revenue. Getting the H20 flowing again could plug billions of dollars in potential losses from unsold inventory and stop bleeding market share to Chinese competitors. Analysts like Ray Wang at Futurum Group are already calling it a “fresh growth catalyst,” and frankly, he’s right.

(Source: Giphy) 

But, but, but… while the kumbaya sounds cool and all… it’s still not necessarily all Mara-Lago Golf and cigars on the matter. This is still a geopolitical knife fight. Washington is more volatile  than my wives “headache” schedule, and the Don could slam the door again at any time. Nvidia’s also covering its a$$ by working on new chips like the RTX PRO… “fully compliant” with export rules, which means they’re intentionally weaker so the U.S. won’t hyperventilate about military applications.

Still, for now, Jensen’s riding high. He’s over in Beijing this week, shaking hands and waxing poetic about “safe AI,” probably wearing that same black leather bomber and grinning like the cat that ate the canary… and the canary’s entire nest egg. And yet, he deserves it. Nvidia’s back in China, AI chips are moving again, and Jensen Huang remains the only tech CEO who can single-handedly keep both Wall Street and Washington from sh*tting the bed. Clap for your king. 

(Source: Linkedin) 

In the end, keep your eyes on this story and place your bets accordingly, friends. Don’t let the FOMO trap you, but don’t write it off either. Until next time…

At the time of publishing, Stocks.News does not hold positions in companies mentioned in the article.