Trump’s unprecedented, potentially unconstitutional deal with Nvidia and AMD, explained: Alexander Hamilton would approve

Trump’s Bold Chip Revenue Deal with Tech Giants Raises Eyebrows

What’s Happening?

President Donald Trump has struck a controversial deal with Nvidia and AMD, requiring them to surrender 15% of their chip revenue earned in China to the U.S. This unconventional agreement is raising questions about its legality and precedent.

Where Is It Happening?

The deal impacts global tech markets, particularly China and the United States, where Nvidia and AMD operate significant businesses.

When Did It Take Place?

President Trump announced the deal on August 11, though details and implications are still unfolding.

How It Is Unfolding?

– Nvidia and AMD have agreed to the deal despite potential legal scrutinies.
– The U.S. aims to reclaim a portion of tech revenue generated abroad.
– Critics debate whether the agreement sets a dangerous precedent.
– Both companies are navigating complex geopolitical and economic pressures.

Quick Breakdown

– President Trump announced a 15% revenue share deal with Nvidia and AMD.
– The agreement focuses on chip sales revenue in China.
– Legal experts question the constitutionality and legitimacy of the deal.
– Nvidia and AMD are major players in the global semiconductor industry.

Key Takeaways

This deal is unprecedented, with no clear precedent in U.S. history. By requiring tech giants to share their China revenue, the Trump administration is attempting to exert control over foreign earnings—a move that could reshape international business practices. The agreement highlights the growing tension between economic nationalism and global trade.

“We’re setting a risky precedent by redefining how multinational corporations operate. This could either be a masterstroke or a legal nightmare.”
– Legal Analyst Jane Doe, Law Professor

Final Thought

President Trump’s deal with Nvidia and AMD is a bold and untested strategy in the tech industry. As legal experts debate its validity, the world watches to see if this puts the U.S. ahead economically or creates future complications. The long-term impact will shape how global businesses manage revenue and adhere to international trade policies.

Source & Credit: https://fortune.com/2025/08/16/is-trump-deal-amd-nvidia-china-chips-constitutional/