Nvidia Faces Significant Sales Loss Due to US Export Restrictions

In a startling development, Nvidia, a titan in the artificial intelligence sector, witnessed a sharp decline of over 7% in premarket trading this Wednesday. This downturn comes in the wake of the company's alarming disclosure of an anticipated $5.5 billion sales loss, attributed to recent US tariff impositions aimed at limiting high-end chip exports to China.

The gravity of the situation was underscored by a filing with the US Securities and Exchange Commission (SEC), which laid bare the financial repercussions of Washington's stringent export controls. Among the affected products is Nvidia's H20 chip, now barred from the Chinese market.

By 4:10 am ET, Nvidia's stock had tumbled to $112.20, marking a 7.08% decrease and sending ripples through the investment community.