Get the latest tech news

Trump’s AI chip deal sparks legal questions and national security concerns


President Trump stunned many in the tech world after announcing a controversial deal with chipmakers Nvidia and AMD, allowing them to sell advanced artificial intelligence chips to China in exchange for giving the U.S. government a 15% cut of their revenue. Amna Nawaz discussed the legality of this deal and its implications with Scott Kennedy of the Center for Strategic and International Studies.

Aug 13, 2025 6:40 PM EDTPresident Trump stunned many in the tech world after announcing a controversial deal with chipmakers Nvidia and AMD, allowing them to sell advanced artificial intelligence chips to China in exchange for giving the U.S. government a 15% cut of their revenue. Scott Kennedy, Center for Strategic and International Studies: I have never heard of a deal like this as long as I have been watching U.S.-government business relations or the tech industry, the U.S. government taking a cut of exports. We should note it's a huge departure from previous policy that was restricting China's access to these advanced semiconductors largely due to national security concerns that they could be used for military technology.

Get the Android app

Or read this on r/technology

Read more on:

Photo of Trump

Trump

Photo of Legal Questions

Legal Questions

Photo of AI chip deal

AI chip deal

Related news:

News photo

There’s a small problem with Trump’s export deal with Nvidia and AMD: The Constitution says it’s illegal

News photo

Who made the demo list for Trump's fast-track nuclear reactor scheme?

News photo

The First Federal Cybersecurity Disaster of Trump 2.0 Has Arrived