Trump Flips on China Chip Ban—Nvidia Just Won Big

Trump banned Nvidia's China chip sales in April over security fears. Three months later, he reversed it after meeting CEO Jensen Huang. The $15 billion flip shows how economic pressure can override national security concerns in tech policy.

Trump Reverses Nvidia China Chip Ban After CEO Meeting

Good Morning from San Francisco,

Trump just flipped his own policy. Three months after banning Nvidia's China chip sales, he reversed course completely. Jensen Huang met with the president last week. Now Chinese companies scramble to place $15 billion worth of orders.

The world's most valuable company gets its second-biggest market back. Economic interests beat security concerns. This sets the precedent for future tech restrictions.

Nvidia shares jumped 4.5% in premarket trading. Chinese stocks surged too.

Sometimes persistence pays off spectacularly.

Stay curious,

Marcus Schuler


Nvidia's China Comeback Shows Money Beats Security Fears

Three months after blocking Nvidia's AI chip sales to China, Trump changed his mind. One meeting with CEO Jensen Huang last week undid the entire policy.

The reversal lets Nvidia resume selling H20 processors to Chinese buyers. The company expects to recover $15 billion in annual revenue it had written off as lost. Chinese firms immediately started placing orders through Nvidia's "whitelist" system.

Trump's April ban cited security concerns. Officials worried Chinese military forces could use AI chips for weapons development. Commerce Secretary Howard Lutnick told Congress that Nvidia needed to "stop helping China" compete with American technology.

But Huang kept pushing back. He argued that restrictions only strengthened Chinese competitors like Huawei. China represents half the world's AI developers and generated $17 billion for Nvidia last year.

The CEO's persistence paid off. After their White House meeting, Trump's team assured Nvidia that export licenses would be approved. Markets loved the news - Nvidia shares jumped 4.5% and Chinese tech stocks surged.

Nvidia also announced a new "fully compliant" RTX PRO chip designed specifically for China. This processor needs no export licenses and targets smart factories and logistics applications.

Why this matters:

Economic arguments now trump security fears - Nvidia's potential $15 billion revenue hit proved more compelling than military concerns about Chinese AI development.

China gets an AI lifeline - While Chinese companies work on domestic alternatives, they still prefer American chips, buying them more time to close the technology gap.

Trump Reverses Nvidia China Chip Ban After CEO Meeting
Trump reverses China chip ban after Nvidia CEO’s White House visit. The $15 billion policy flip shows economic interests beating security concerns in the AI race with Beijing.

AI Image of the Day

Credit: midjourney
Prompt:
Close-up of a man and woman sharing a quiet, emotional moment. Vintage 1960s film style: warm low contrast, visible grain, slightly faded colors, and a timeless cinematic look. Gentle shadows and a soft focus enhance the emotional tone.

Disney Solves the Digital Human Close-Up Problem

Disney Research tackled digital humans' biggest flaw: they look fake when you zoom in. Their new ScaffoldAvatar system fixes this by treating faces like they actually work.

Instead of controlling expressions globally, the system divides each face into 432 small patches. Each patch moves independently, creating 8,208 expression parameters. Current methods use just 100 parameters total.

The results speak for themselves. ScaffoldAvatar renders individual freckles, dynamic wrinkles, and facial hair in real-time. The system hits 100+ frames per second on consumer graphics cards while maintaining photorealistic quality.

Performance metrics show clear wins. The new method scores 37.03 PSNR compared to 30.15 for the previous best system. Side-by-side comparisons reveal sharp, believable skin where competitors produce soft, artificial results.

Applications span virtual telepresence, movie production, and video games. The timing aligns with explosive market growth - AI avatars are projected to jump from $0.8 billion in 2025 to $5.9 billion by 2032.

The system requires individual training for each person and can't handle accessories like glasses. But the core breakthrough appears solid.

Why this matters:

The uncanny valley just got smaller - patch-based control finally delivers convincing close-ups, transforming how we interact with digital humans.

Real-time photorealism is ready - 100+ FPS performance means practical deployment, not just lab demonstrations.

Disney ScaffoldAvatar: Photorealistic 3D Avatars at 100+ FPS
Disney Research addresses a major problem with digital humans: they look fake up close. New ScaffoldAvatar system renders photorealistic 3D head avatars with individual freckles and wrinkles at 100+ FPS on consumer hardware.

🧰 AI Toolbox

How to Extract Short Clips from Long Videos

Munch finds the best moments in your long videos and turns them into short clips for social media. Upload a webinar or podcast, and it identifies the most engaging parts automatically. Perfect for creating TikToks and Instagram Reels.

Tutorial:

  1. Sign up for a Munch account
  2. Upload your long video like a webinar or interview
  3. Munch analyzes and finds the most engaging moments
  4. Review the suggested clips and pick your favorites
  5. Edit clips by trimming, adding captions, and changing size
  6. Add your branding and call-to-action
  7. Download clips and post on social media

URL: https://www.getmunch.com/


AI & Tech News

AMD Gets Green Light to Sell AI Chips to China Again

AMD will restart MI308 chip shipments to China after the US Commerce Department approved license applications, reversing months of export restrictions. The move could recover $800 million in lost revenue for AMD, following a similar approval for Nvidia's H20 chips as US-China relations show signs of thawing.

Anthropic Targets Wall Street With New AI Package for Finance Pros

Anthropic launched Claude for Financial Services, a specialized AI package that helps analysts conduct market research and investment decisions by integrating with financial data providers like FactSet and PitchBook. The move puts Anthropic in direct competition with OpenAI and Perplexity for Wall Street business, as the company's revenue jumped from $3 billion to $4 billion annualized in just the past month.

Brookfield Sells Google 20 Years of Hydro Power in Record Deal

Google signed a $3 billion deal with Brookfield for hydroelectric power from Pennsylvania facilities, marking the largest hydropower purchase agreement as tech companies scramble to fuel AI's massive energy demands. The 20-year agreement delivers 670 megawatts initially, with options for 3 gigawatts total, as the industry shifts toward reliable renewable sources that work regardless of weather.

Nextdoor Tries to Fix Its Reputation as App for Neighborhood Complaints

Nextdoor is overhauling its platform with emergency alerts from official sources, partnerships with 3,500 local news outlets, and an AI chatbot for recommendations after admitting users found it full of irrelevant updates and negativity. The company hopes these changes will transform it from a place where neighbors complain about each other into a useful hyperlocal tool for emergencies and community information.

CoreWeave Drops $6 Billion on Pennsylvania AI Data Center

CoreWeave will invest $6 billion to build an AI data center in Lancaster, Pennsylvania, starting with 100 megawatts of capacity and potentially expanding to 300 megawatts. The project, which creates 775 jobs and serves clients like OpenAI and Microsoft, is part of Trump's $70 billion AI investment announcement as companies race to build gigawatt-scale facilities.

Israel and Iran Turn Social Media Into AI-Powered Battlefield During 12-Day War

Israel and Iran flooded social media with AI-generated fake videos, manipulated images, and coordinated disinformation campaigns during their 12-day conflict, turning platforms like X and Telegram into digital battlefields. The psychological warfare marked a new era where countries can instantly create believable fake content and spread it to millions of people scrolling for updates while bombs fall.

DOGE Employee With Government Database Access Leaks xAI API Key on GitHub

A 25-year-old DOGE employee with access to sensitive databases at Social Security, Treasury, Justice, and Homeland Security, accidentally published an xAI API key on GitHub that gave anyone access to 52 large language models. The security blunder marks the second time this year a DOGE worker has leaked internal xAI keys, raising questions about whether people who can't manage basic operational security should handle confidential government systems.


Better prompting...

Today: Book Launch Marketing Strategy

Create a comprehensive 90-day marketing plan for launching [BOOK TITLE/GENRE] by [AUTHOR NAME], targeting [PRIMARY AUDIENCE]. Include:

Book Details:

  • Genre: [specify]
  • Target demographic: [age, interests, reading habits]
  • Unique selling proposition: [what makes this book stand out]
  • Author's current platform: [social media following, email list size, previous publications]

Marketing Objectives:

  • Launch week sales target: [number]
  • Long-term goals: [bestseller lists, award submissions, etc.]
  • Budget range: [$ amount or "limited budget"]

Required Components:

  1. Pre-Launch Strategy (60 days before release):
    • Social media content calendar for [specific platforms]
    • Influencer/reviewer outreach plan
    • Email marketing sequence
    • Content marketing strategy (blog posts, podcasts, etc.)
  2. Launch Week Intensive (7 days):
    • Daily promotional activities
    • Social media campaign tactics
    • Media interview schedule
    • Launch day event planning
  3. Post-Launch Momentum (30 days after):
    • Sustained engagement strategies
    • Review cultivation tactics
    • Award submission timeline
  4. Author Events & Speaking:
    • Virtual and in-person event recommendations
    • Bookstore partnership opportunities
    • Conference/festival applications
    • Workshop or masterclass concepts
  5. Success Metrics:
    • KPIs to track for each channel
    • Monthly review checkpoints
    • Adjustment strategies based on performance

Please provide specific tactics, timelines, and budget-friendly alternatives for each component.


🚀 AI Profiles: The Companies Defining Tomorrow

NetBox Labs: The Network Whisperers 📡

NetBox Labs emerged from the IBM acquisition wreckage of NS1, turning network chaos into cold, hard cash. They've weaponized an open-source darling called NetBox into a full-stack assault on Excel-driven network management.

• The Founders
Kris Beevers (ex-NS1 CEO) and Jeremy Stretch (NetBox creator) launched in January 2023 from New York City. The dream team includes Shannon Weyrick (CTO), Bill Lapcevic (CRO), Mark Coleman (CPO), and Salil Jani (COO). Headcount quadrupled in two years. Mission: kill the spreadsheet menace plaguing network ops worldwide.

• The Product
NetBox serves as the "source of truth" for network infrastructure—think Google Maps for data centers. Core strengths: IP address management, device tracking, and cable mapping in real-time. NetBox Cloud delivers SaaS simplicity. NetBox Discovery auto-scans networks. NetBox Assurance polices configuration drift. The crown jewel: NetBox Operator, an AI assistant that'll chat with your switches. 🤖

• The Competition
Legacy giants Infoblox and BlueCat own enterprise IP management. Cisco and Juniper push vendor-locked solutions. Open-source rival Nautobot forked their codebase in 2021. SolarWinds and Device42 nibble at the edges. The real enemy? Excel spreadsheets. Seriously. Network teams still track million-dollar infrastructure in .xlsx files.

• Financing
$20M Series A (2023) led by Flybridge Capital. $35M Series B (2025) led by NGP Capital. Total war chest: $55M. Backers include IBM, Salesforce Ventures, GGV Capital, Two Sigma Ventures. Valuation undisclosed but likely hundreds of millions.

• The Future ⭐⭐⭐⭐⭐
NetBox Labs hit the jackpot timing. AI infrastructure boom demands faster data center deployments. Network automation market projected to hit $35B by 2028. They've got the open-source community lock, commercial traction, and serious funding. The challenge: scaling without alienating the free-software faithful who built their empire.

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