The federal government’s past restrictions on AI chip sales inside China were easily the biggest threat to American preeminence in the AI space.

Nvidia CEO Jensen Huang said the Trump administration is letting it sell its advanced H20 computer chips to China — a reversal in policy.

Nvidia is set to recoup billions of dollars in revenue as the Trump administration has signaled it will grant licenses for the company to resume sales of its AI chips to China after a surprise export ban in April.

President Trump has become more hostile to the Federal Reserve’s chair. Markets aren’t worried yet, but some on Wall Street are getting more concerned.

Nvidia has profited enormously from rapid adoption of AI, but the trade rivalry between the U.S. and China has been weighing heavily on the industry.

Dow Jones futures fell slightly overnight, along with S&P 500 futures and Nasdaq futures. United AirlinesUAL reported mixed results late Wednesday. NvidiaNVDA chipmaker Taiwan SemiconductorTSM headline earnings early Thursday with NetflixNFLX due after the close.

Donald Trump’s decision to let Nvidia sell powerful artificial intelligence (AI) microchips to China has sparked fears that the technology could be used to boost Beijing’s military. Charles Parton, from the think tank Rusi, said there would “inevitably” be sales of semiconductors “which have the possibility of military use”.