Nvidia targeted by China: Top Story

00:00 Speaker A

Well, overnight, China has ruled that Nvidia violated anti-monopoly laws after concluding an initial investigation.

00:10 Speaker A

This is likely to ramp up the pressure on Washington during sensitive trade negotiations that are taking place right now in Madrid.

00:20 Speaker A

Nvidia’s shares fell over 2% in the pre-market. The company has previously disclosed it’s facing scrutiny inside China where regulators demanded it keep supplying local companies in return

00:34 Speaker A

for regulatory approval of its 2020 acquisition of Mellanox.

00:40 Speaker A

According to China’s anti-trust law, companies can face fines of between 1 and 10% of their annual sales from the previous year.

00:50 Speaker A

China generated $17 billion in revenue for Nvidia in the fiscal year ending January 26th, or 13% of total sales based on its last annual report.

01:03 Speaker A

Now, US-China trade talks continue in Madrid today with the sale of Tik Tok high up on the agenda.

01:10 Speaker A

Here’s President Trump’s take on that. He was speaking before China released its Nvidia statement.

01:23 Donald Trump

I may or may not. They’re negotiating Tik Tok right now.

01:28 Donald Trump

We may let it die or we may, I don’t know, it depends. Up to China. It doesn’t matter too much.

01:33 Donald Trump

I’d like to uh do it for the kids that like it.

01:37 Donald Trump

I mean, selfishly speaking, I did very well on Tik Tok and I got the youth vote. I got numbers that nobody’s ever even come close to in the Republican Party, nobody.

01:48 Donald Trump

If you look back to Romney and all these people, they got practically no votes. I got a lot.

01:53 Donald Trump

And uh some was attributed to Tik Tok, and a lot was attributed to Charlie.