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.

Wedbush said the U.S. deal to allow Nvidia (NVDA) and AMD (AMD) to secure export licenses to sell their AI chips in China "takes down a key barrier of growth in the AI Revolution."

Treasury Secretary Scott Bessent said the recent deal to allow Nvidia Corp. and Advanced Micro Devices Inc. to resume lower-end AI chip sales to China, on the condition they give the U.S.