Trump warned by the Democrats of the Senate to rethink flea sales in China

Friday, six Senate Democrats published an open letter asking President Donald Trump to reconsider his decision to authorize the technology giants Nvidia And Advanced micro-apparents To sell chips with AI semiconductors in China in exchange for 15% of sales income.

The letter – signed by the Senators Chuck Schumer, DN.Y.; Mark Warner, D-VA.; Jack Reed, Dr.i.; Jeanne Shaheen, dn.h.; Christopher Coons, D-Del.; And Elizabeth Warren, D-Mass. – responded to an announcement of August 11 by Trump that Nvidia and AMD would pay the US government a 15% reduction in flea sales in China in exchange for export licenses.

“Our national security and military preparation is based on American innovators by inventing and producing the best technology in the world, and in maintaining this qualitative advantage in sensitive fields. The United States has historically succeeded in maintaining and building this advantage due, in part, of our ability to refuse access to adversaries to these technologies,” said the letter.

“The will displayed in this arrangement of” negotiating “the competitive exterior of America which is the key to our national security in exchange for what is, in fact, a commission on the sale of technologies in terms of AI to our main world competitor, is a serious alarm”, continues the letter.

Senators have also warned that the sale of advanced fleas – in particular the MI308 H20 and MI308 chips of AMD – in China could help strengthen its military systems, an assertion that Nvidia NIE.

In a statement to CNBC, a spokesperson for NVIDIA said: “The H20 would not improve anyone’s military capacities, but would have helped America attract the support of developers around the world and win the IA race. H20 Cost American Cost Contributers of billions of dollars, without any advantage.”

A request for comments on the letter from AMD was not immediately returned.

The Democrats of the Senate also asked for a detailed response from the administration by Friday August 22, concerning the current agreement involving NVIDIA and AMD, as well as all the similar arrangements concluded with other companies.

“We again urge your administration to quickly reverse the courses and abandon this reckless plan to exchange American technological leadership,” said the letter.

In response, the Trump administration seemed to overshadow the national security problems of the legislators.

“It is quite rich to see non-relevant democrats and” experts “, which were completely MIA when the Autopen administration of Joe Biden left H20 fleas and other advanced technologies that flow freely to China, now claims to worry about our national and economical security,” said the White House spokesman Kush Desai, CNBC.

Although Trump has enabled flea sales to resume, it has already become clear that China does not welcome Nvidia with open arms, rather urging technological companies to avoid buying tokens from American companies, according to a Bloomberg report.

“We hear that this is a difficult mandate, and that (the authorities are in fact) to stop additional H20S orders for certain companies,” a main analyst covering China semiconductors in Bernstein told CNBC.

In a separate report, the information indicated that regulators in China have ordered large technological companies, including Bytedance, AlibabaAnd tence, to suspend the purchases of Nvidia chips until a national security examination is finished.

– Kristina Partsinevelvelos of CNBC contributed to this report