• NVIDIA is willing to grant the US government a portion of revenue from sales of its advanced Blackwell chips in China, according to sources.
  • The proposal comes as the chipmaker and manufacturing partner Foxconn accelerate the global deployment of the Blackwell platform, including a major new AI supercomputer in Taiwan.
  • This unusual arrangement highlights the extreme measures required to navigate ongoing US export controls while attempting to maintain access to the critical Chinese market.

NVIDIA Corp. has proposed allowing the US government to receive a share of revenue generated from sales of its cutting-edge Blackwell architecture chips in China, according to people familiar with the matter. The offer is seen as a strategic maneuver to appease regulators and potentially secure more favorable treatment under stringent US export controls that have constrained its business in the key market.

The discussions are occurring against a backdrop of intense global competition in artificial intelligence. NVIDIA and its manufacturing partner Foxconn (Hon Hai) are aggressively rolling out the Blackwell platform worldwide. Their most significant recent move is a partnership with the Taiwan government to construct a massive AI supercomputing facility in Taiwan, which will be equipped with 10,000 Blackwell GPUs. This project is designed to accelerate Taiwan's tech ecosystem by providing advanced research and enterprise services, with Foxconn's Big Innovation Company tapped to distribute NVIDIA Cloud services across the island.

Despite a slight loosening of restrictions in July 2025 that allowed the sale of certain lower-tier AI chips to China, NVIDIA's most advanced offerings, including the newly launched Blackwell chips, remain under tight scrutiny. US policy aims to restrict China's access to technology that could bolster its military or high-tech advancement. NVIDIA's revenue-sharing proposal is an attempt to balance compliance with these national security objectives against the commercial imperative of the Chinese market, which represents a substantial portion of its business.

Industry analysts note that while unprecedented, such a model could provide a template for other technology firms facing similar geopolitical tensions. "This is a clear signal of the lengths to which companies must go to operate within the current regulatory framework," said one analyst who asked not to be named due to the sensitivity of the matter. "It's a pragmatic, if unorthodox, solution to a seemingly intractable problem."

The company and US regulatory officials declined to comment on the specifics of any ongoing discussions. A spokesperson for NVIDIA reiterated the company's commitment to "full compliance with all applicable export controls and regulations" while continuing to provide products that support global customers.

The outcome of these talks is being closely watched by global investors and contract manufacturers like Quanta and Wistron, who are cautiously adjusting their own forecasts based on the volatile regulatory landscape. If successful, the arrangement could pave the way for NVIDIA to expedite regulatory approvals for Blackwell sales in China, providing a significant boost to its fourth-quarter outlook. However, the proposal also carries the risk of drawing further scrutiny from both US and Chinese regulators, who may view the financial arrangement with skepticism.

This article was updated to clarify that the proposed revenue share specifically pertains to sales of the Blackwell architecture platform in China.