On November 24, 2025, the U.S. Commerce Department announced that President Donald Trump will personally decide whether Nvidia can export its H200 AI chips to China, the most advanced GPU in Nvidia’s data‑center lineup. The decision follows a series of tightening export controls that have already limited the sale of earlier H100 and H20 models to the Chinese market.
Nvidia’s Q3 fiscal 2026 results underscored the company’s robust growth: revenue rose 62% to $57.01 billion, driven by a 73% increase in the Data Center segment, while the Gaming and Professional Visualization segments grew 12% and 56% respectively. Earnings per share of $1.30 beat analyst expectations of $1.24, a $0.06 or 5% beat, largely due to disciplined cost management and a favorable product mix that favored higher‑margin AI platform sales. Gross margin contracted slightly to 73.6% from 75.0% a year earlier, reflecting higher raw‑material costs and increased investment in research and development.
The export review could cut Nvidia’s access to a $40 billion‑plus Chinese AI chip market. While the company has already shifted some sales to the H20 variant, the H200’s advanced capabilities are critical for hyperscalers and large enterprises. A restriction would reduce Nvidia’s revenue potential in China by an estimated $1–2 billion annually, intensifying competition from domestic players such as Huawei and SMIC that are rapidly closing the technology gap.
CEO Jensen Huang emphasized that the company remains confident in its global strategy: “The export restriction policy has failed to slow China’s progress, and we continue to see strong demand for our AI hardware worldwide.” He added that Nvidia can succeed without China, but also highlighted the importance of maintaining a presence in the market to protect its leadership position.
Investors welcomed the company’s strong Q3 performance and optimistic Q4 guidance of $65 billion in revenue, up from $57 billion in Q3, signaling continued confidence in AI demand. The guidance, combined with the export review, underscores the dual challenge of sustaining growth while navigating geopolitical headwinds.
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