How Nvidia's 'Zero marketshare' problem continues as Donald Trump's talks with China will not help

Nvidia's China problem continues despite what appears to be a positive meeting between the US President Donald Trump and Chinese President Xi Jinping in South Korea. Trump told reporters aboard Air Force One as he left South Korea that the meeting with Xi was "amazing" and that "a lot of decisions were made.

" But they don't seem to be good enough for the world's most-valuable company, Nvidia. Trump did say that he could discuss Nvidia's state-of-the-art artificial intelligence Blackwell chips with Chinese President Xi Jinping, but when asked about the same later, the President said that the topic didn't come up.Trump reportedly told reporters that he did not discuss approving sales of Nvidia's Blackwell chips to China with Chinese President Xi Jinping, dampening speculation that Washington will allow exports of the powerful AI chips to China.According to a report by Bloomberg, Trump said that he and Xi talked about Nvidia’s access to China in general, and that it was up to Beijing to continue conversations with the chipmaker. “We did discuss chips,” Trump told reporters aboard Air Force One. “They’re going to be talking to Nvidia and others about taking chips.” Trump said, "I said (to Xi) that's really between you and Nvidia, but we're sort of the arbitrator or the referee.

" Asked specifically whether the US would authorize exports of Blackwell accelerators, the US president said “we’re not talking about the Blackwell.”Trump’s comments came just a day after he said he would discuss the Blackwell lineup with China. His statements then had led to the speculation that the US would approve the shipment of more powerful AI chips to China. The US government has banned the sale of Blackwell-based AI chips to China.

Nvidia’s most advanced processors have been subject to US export controls since the Biden administration.

Nvidia faces China's wrath

AI chip giant Nvidia has been caught in the ongoing technological tug-of-war between the United States and China. The dispute centers on US efforts to limit China's access to advanced AI chips, particularly those with potential military applications. In an interview recently, Huang said, “We went from 95% market share to 0%, and so I can’t imagine any policymaker thinking that that’s a good idea, that whatever policy we implemented caused America to lose one of the largest markets in the world.

” In April, Nvidia said the Trump administration blocked the sale of some of its AI chips to China without licenses and would require them for future sales. On its part, the Chinese government is said to be encouraging companies to use homegrown chips over those from Nvidia. Last month, Chinese regulators said that Nvidia had violated the country’s anti-monopoly law, as per a preliminary probe, adding they would continue their investigation.