American chipmaking giant Nvidia says it plans to resume sales to China of an artificial intelligence chip that’s become part of a global race pitting the world’s biggest economies against each other.

Key Points Nvidia and AMD are both set to benefit from easing export restrictions to China. Nvidia remains the GPU leader, and this news should add billions in sales for the company. AMD has a big opportunity in inference,

That message appears to have resonated in Washington. Nvidia confirmed last week that it had received US government approval to resume H20 sales to China. While Nvidia is poised to benefit financially, US officials say the move also serves national interests.

NVIDIA Corporation (NASDAQ:NVDA), a world leader in networking and graphics processing, provides GPUs for the AI, gaming, HPC, and other industries. The company’s products span data centers, gaming, professional visualization, and the automotive markets.

The Trump administration has assured Nvidia that licenses to export the chips will be granted, ending months of halted shipments.

David Sacks said this would "deprive Huawei of basically having this giant market share in China."

Nvidia stock's surge looks poised to accelerate because investors' biggest concern about the company -- losing the Chinese data center AI chip market -- is now a non-issue.

Mich., said Beijing-focused export controls should be designed to keep China’s military “from leapfrogging ahead with U.S. hardware.”