According to the Financial Times, Nvidia has quietly told its cloud partners that at least 51% of their services must go to non-Chinese customers, an unwritten rule conveyed through its sales force that applies only to future contracts. Nvidia neither confirmed nor denied the report, and its statement did not mention China. The move targets Chinese companies that rent computing power outside China to train AI models, a route Washington has tried to close for years, and the cost falls on smaller neocloud providers that rely on Chinese demand. According to the company's latest 10-Q, direct customers headquartered in China, including Hong Kong, generated $7,880 million of the $96,221 million in revenue for the quarter ended July 26, 2026. Its fiscal third-quarter guidance of $108.0 billion, plus or minus 2%, excludes any data center compute revenue from China, and results are scheduled for November 17.
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NVDAChinasemiconductorscloud computing
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NVDA
▼ Likely negativeNvidia
Relevance: medium
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.1T |
| Close on 11/03/2026 | 206.57 |
| Change that session | +2.23% |
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