Chip Chaos: Nvidia Faces $5.5B Hit

Nvidia and AMD stocks slipped in after-hours trading after Nvidia warned of a $5.5 billion charge due to US export restrictions on AI chips to China. The US now requires export licenses for Nvidia's H20 chips, potentially preventing their use in Chinese supercomputers. Nvidia aims to manufacture some chips domestically but faces revenue challenges. Nvidia shares fell 6% to $105, and AMD shares dropped over 7% to $88.55. The geopolitical squeeze continues to impact tech giants heavily tied to international supply chains.