Nvidia is developing a new artificial intelligence chip for China based on its latest Blackwell architecture that will be more powerful than the H20 model it is currently allowed to sell there, two people briefed on the matter said.

Why Nvidia’s and AMD’s China deal with Trump could backfire. The companies making the most money from the AI boom are the ones selling the processors, such as Nvidia and AMD.

Nvidia Corporation (NASDAQ: NVDA) is one of the best big tech stocks to buy right now. The company again came under the radar after the Trump administration asked it to pay 15% sales tax on certain semiconductors it sells to China. However, the impact appears to be quite manageable for the company.

Nvidia Corporation may surpass Q2 EPS estimates, but China market risks and high valuation raise concerns. Click for my NVDA earnings preview.