U.S. chipmakers Nvidia and AMD will pay the U.S. government 15% of revenue generated by sales of their AI chips in China, a White House official confirmed to CBS News. The Financial Times on Sunday reported that the agreement between the tech giants and the U.

The US has sought to maintain its sovereignty in AI, citing national security concerns and financial motivations.

The global AI chip race narrative used to be about U.S. national security, but apparently now it's about tariffs: Nvidia and AMD have agreed to pay the U.S. government 15% of the revenue they make from sales of high-end AI chips to China in exchange for licenses to sell those chips in the country,