Rancak Media – The artificial intelligence euphoria has reignited across global markets as NVIDIA shares reached a record high. This surge follows a landmark decision by the United States government to greenlight the export of advanced H200 AI chips to major Chinese corporations, effectively reopening a multi-billion dollar market that had been stifled by previous export restrictions.
As reported by BeInCrypto on Friday, May 15, NVIDIA stock closed at USD 236.46 per share, marking a nearly 5 percent increase in a single trading session. This rally was fueled by the U.S. Department of Commerce’s authorization allowing approximately 10 Chinese companies to procure NVIDIA’s flagship AI processors.
Industry giants including Alibaba, Tencent, ByteDance, and JD.com are among the approved buyers, while Lenovo and Foxconn have been designated as official distributors. This development effectively reverses the October 2023 export controls that had previously severed China’s access to NVIDIA’s most sophisticated AI hardware.
Jensen Huang Applauds the Shift
NVIDIA CEO Jensen Huang welcomed the policy pivot with a remark that caught the industry’s attention. “President Trump’s visit to China is one of the most significant events in human history,” Huang stated. The market interpreted this comment as a sign that the move represents more than just a trade policy adjustment; it is viewed as a fundamental shift in the technological relationship between the world’s two largest economies.
Before the initial embargo, the Chinese market accounted for nearly a quarter of NVIDIA’s total revenue, with business value estimated at USD 8 billion—or approximately Rp 140 trillion—annually. With these trade lanes reopened, investors are recalibrating their projections for NVIDIA’s growth, particularly regarding its data center business, which serves as the primary engine for the global AI boom.
China Holds the Final Piece
Despite receiving the green light from Washington, the H200 chips have yet to be shipped. The Chinese government is currently conducting internal reviews of these transactions. Consequently, the speed at which this policy shift translates into actual revenue will depend on how quickly Chinese regulators grant final approval.
Nevertheless, market sentiment remains overwhelmingly optimistic. Traders view the resumption of Chinese demand as the missing piece of the puzzle for NVIDIA’s ongoing AI expansion. Wall Street continues to keep a close watch on NVIDIA’s data center segment, as it remains the driving force behind the company’s staggering valuation.
NVIDIA’s Valuation Rivals Nations
Following the latest stock surge, NVIDIA’s market capitalization has surpassed the gross domestic product (GDP) of almost every country in the world, with the exceptions of the United States and China. Meanwhile, Alphabet is closing in, sitting less than 4 percent away from a USD 5 trillion valuation.
This phenomenon highlights how the market now treats AI hardware as a premium commodity, far exceeding the valuations of traditional physical assets. However, a major question remains: is the demand for AI robust enough to sustain such high valuations, or is the market forming a bubble reminiscent of the dot-com era? For now, Wall Street seems committed to the AI growth narrative.
Disclaimer: This article is presented for informational purposes regarding market developments and digital technology. It does not constitute investment advice or a recommendation. Always conduct your own research before making investment decisions.
Summary
NVIDIA shares reached a record high following the U.S. government’s decision to authorize the export of advanced H200 AI chips to major Chinese corporations. This policy reversal allows companies like Alibaba, Tencent, and ByteDance to resume purchasing high-end processors, a move that restores access to a market previously worth roughly USD 8 billion in annual revenue. The authorization has significantly boosted market sentiment, further cementing NVIDIA’s position as a dominant force in the global AI hardware sector.
While the U.S. has greenlit the transactions, the actual delivery of these chips remains subject to internal reviews by the Chinese government. Investors are now closely monitoring these regulatory processes to determine how quickly the reopened trade lanes will impact NVIDIA’s data center revenue. Despite questions regarding the sustainability of current AI valuations, Wall Street remains optimistic, viewing the renewed demand from China as a critical catalyst for the company’s ongoing growth.
