Nvidia has ordered 300,000 H20 chips from Taiwan’s TSMC after U.S. President Donald Trump lifted restrictions that blocked the company from selling those chips to Chinese buyers, according to Reuters.

The letter states that allowing sales of the H20 AI chip to China could hurt the U.S.'s AI "edge" and further chip bottlenecks in the U.S.

N vidia placed orders for 300,000 H20 chipsets with contract manufacturer TSMC last week, two sources said, with one of them adding that strong Chinese demand had led the U.S. firm to change its mind about just relying on its existing stockpile.