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Nvidia CEO Jensen Huang has said it would be a “tremendous loss” for his chip company to lose access to a rapidly growing AI market in China that he estimates to soon be worth $50 billion.
In an interview with CNBC on Tuesday, the Nvidia boss addressed concerns about the growing restrictions facing his company as the US government seeks to clamp down on the sale of its high-performing AI chips to China.
According to Huang, “China is a very large market” that will present a $50 billion addressable market within the next two to three years.
“It would be a tremendous loss not to be able to address it as an American company,” Huang said.
“It’s going to bring back revenues, it’s going to bring back taxes, it’s going to create lots of jobs here in the United States,” he added.
Nvidia has added trillions of dollars in value since the release of ChatGPT in late 2022, as AI companies in the US, China, and elsewhere have sought its chips, known as GPUs, to train and host increasingly smarter AI models.
However, Nvidia’s boom in the generative AI era has taken a hit in recent months, with the company’s share price down almost 18% year-to-date.
One of the biggest concerns facing Nvidia investors has been the potential long-term impact of President Donald Trump’s tariff regime and export controls on advanced technologies to China.
In its last earnings, Nvidia reported $17.1 billion in revenue from China for its last fiscal year, marking a 66% increase from the $10.3 billion it generated the year before.
However, last month, the company disclosed a $5.5 billion hit to earnings due to restrictions on sales of its H20 chips to China.
In the interview with CNBC, Huang acknowledged the earnings hit disclosed last month, while stating that his company would “stay agile and keep moving on” and do “whatever’s in the best interest of our country.”
Nvidia did not immediately respond to Business Insider’s request for comment.
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