NVIDIA Corporation (NVDA) Gains Momentum on H200 China Clearance

NVIDIA Corporation (NASDAQ:NVDA) is one of the top tech stocks in billionaire Ken Fisher’s portfolio. On May 14, Reuters reported that the US has cleared 10 Chinese companies to purchase NVIDIA Corporation (NASDAQ:NVDA)’s second-most-powerful AI chip, the H200. However, the report indicates that no deliveries have been made so far, leaving the deal in limbo.

According to people familiar with the matter, Alibaba, Tencent, and JD.com are among the companies approved to purchase the H200 chips. A handful of distributors, including Lenovo and Foxconn, have also been approved. The report also indicates that buyers can purchase directly from the chip giant or through intermediaries. Each customer can also purchase up to 75,000 chips under the US Licensing terms.

Amid the approval, deals for potential purchases have stalled as Chinese firms have pulled back following guidance from Beijing authorities. Pressure is mounting to block or tightly vet the orders as authorities look to foster their own domestic industry.

NVIDIA Corporation (NASDAQ:NVDA) is a leading technology company that specializes in designing and manufacturing Graphics Processing Units (GPUs), alongside developing software for artificial intelligence (AI), high-performance computing, and visualization. It is considered the backbone of the AI industry, providing the essential “mining equipment” (chips and software) needed to power the ongoing AI boom.

READ NEXT: Billionaire Steve Cohen’s 10 Large-Cap Stock Picks with Highest Upside Potential and 12 Best Uranium Stocks to Buy According to Wall Street Analysts.

Disclosure: None. Follow Insider Monkey on Google News.