Nvidia (NVDA) CEO Jensen Huang emphasized that American tech firms cannot afford to be sidelined in China, adding that the U.S. technology stack should serve as a global benchmark—much like how the U.S. dollar dominates world finance.
“[President Trump] recognizes that America’s tech foundation should set the global standard. Just as economies around the world are built on the U.S. dollar, we want industries and technologies everywhere—including in China—to be built on American innovation,” Huang said in an interview with Yahoo Finance following the chipmaker’s Q2 earnings release.
As the leader of the world’s most valuable company, Huang noted Nvidia is gearing up again to supply chips to China after securing the necessary U.S. government licenses. “We’ve been cleared to ship, and now we’re engaging with Chinese customers for orders,” he explained.
Nvidia posted Q2 data center revenue of $41.1 billion, up from $26.2 billion in the same quarter last year. Those results excluded shipments of its lower-powered H20 chips to China. For Q3, the company guided revenue of about $54 billion, give or take 2%, with Huang noting that any sales to China would come as an “upside surprise.”
“We have every chance to thrive in China if American firms are allowed a fair shot in the market. I’m hopeful that the situation will be resolved,” Huang added.
On the earnings call, CFO Colette Kress said the company is still awaiting a finalized agreement with the Trump administration that would see Nvidia pay a 15% levy on its China sales. Huang stressed, however, that Nvidia has no plans to replicate Intel’s deal with Washington.
Intel (INTC), in the middle of a long-term turnaround, sold a 10% stake to the U.S. government in exchange for support as it tries to stabilize its foundry and chip businesses. Despite this, Intel continues to cede market share to AMD (AMD) while also facing fresh competition in PCs from Arm-based rivals like Qualcomm (QCOM).
Huang also highlighted the company’s growing networking division, which falls under the Data Center unit. Networking revenue hit $7.2 billion in Q2—up 98% year over year—with Ethernet products alone reaching a $10 billion annual run rate. “Networking will be a massive part of our business going forward—it’s the convergence of computing, networking, and software,” Huang said.
Meanwhile, Nvidia’s gaming segment also beat expectations, supported by strong GeForce sales and continued momentum from Nintendo’s Switch 2, which runs on Nvidia chips. Huang noted the company is now bringing AI advances back into gaming to enhance graphics and gameplay.
“AI is transforming GeForce and will redefine gaming experiences,” he said. “I couldn’t be more proud of what we’ve accomplished with Switch and GeForce.”