In a recent interview with CNBC's Jim Cramer, Nvidia CEO Jensen Huang highlighted the critical importance of exporting the company's AI technology to China. Huang stressed that maintaining trade relations with China is essential for the United States to remain a global leader in artificial intelligence.
Huang explained, "That's probably the most important strategic reason to be in China, because there are so many developers there and because the world is going to adopt technology from one country or another — and we prefer it to be the American technology stack." He pointed out that China is home to approximately 50% of the world's AI researchers, making it a pivotal market for AI development and innovation.
Despite Nvidia reporting better-than-expected earnings recently, Huang expressed concern over U.S. government restrictions that effectively close the $50 billion Chinese market to U.S. AI chip manufacturers. He warned that these export controls not only result in lost revenue—amounting to billions of dollars for Nvidia and tax revenue for the U.S.—but also have long-term global consequences. Losing access to such a significant developer base could diminish America's influence in the AI sector worldwide.
Huang emphasized the importance of maintaining dialogue with the U.S. administration to address these concerns. "We understand the technology best, and we understand how computing works," he said. "We've been in China for 30 years, and this is an area where we have a lot of expertise. We're going to continue to share that."
He concluded that fostering a global developer preference for American technology stacks will enable U.S. companies to lead in AI applications worldwide.
