Nvidia CEO Jensen Huang met with the US President Donald Trump at the White House just days after the AI chip giant suffered a historic stock wipeout. The company lost nearly $600 billion in market value — its worst decline ever — following the launch of DeepSeek, a Chinese AI model that threatens Nvidia’s dominance in artificial intelligence.
DeepSeek: The Disruptor Shaking Up AI
DeepSeek, developed by a Chinese startup, has gained attention for its high efficiency and low cost compared to existing AI models. What makes the situation more alarming for Nvidia and U.S. regulators is that DeepSeek’s AI runs on Nvidia’s H800 chips — which are still accessible in China despite U.S. export controls.
With concerns mounting over China’s rapid AI advancements, U.S. lawmakers have called for stricter restrictions on Nvidia’s chips, particularly the H20 model, which was designed to comply with current trade rules but is still being used to power AI developments in China.
Trump and Nvidia CEO Discuss AI and Trade Policies
Huang’s meeting with Trump focused on the challenges posed by DeepSeek and potential U.S. responses, including tightening export controls to prevent cutting-edge AI technology from flowing into China. While no official decisions have been announced, the discussion signals a possible crackdown on AI chip exports.
Trump described the meeting as “productive” and called Huang a gentleman, emphasizing that the U.S. tech industry must innovate to stay ahead. However, Nvidia has cautioned against overly strict restrictions, warning that further limits on AI chip sales could hurt American tech companies while failing to stop China from developing its own alternatives.
What’s Next? A Potential DeepSeek Ban?
By January 27, 2025, DeepSeek’s AI Assistant, utilizing the V3 model, surpassed ChatGPT as the highest-rated free app on the iOS App Store in the United States. The rising popularity of the Chinese AI model raises the question of potential ban on DeepSeek.
The outcome of these discussions will have major implications for Nvidia, China’s AI ambitions, and the future of the U.S.-China tech relations.
For now, all eyes remain on how the U.S. government will act—and whether Nvidia can recover from one of its worst stock plunges in history.
