By Liam Mo and Fanny Potkin BEIJING/SINGAPORE (Reuters) -Nvidia is developing a new artificial intelligence chip for China based on its latest Blackwell architecture that will be more powerful than the H20 model it is currently allowed to sell there,

Nvidia last week struck a deal with the U.S. government to resume selling products in China, in exchange for giving it a 15% cut of the sales.

Nvidia struck a surprising deal after convincing the president that H20 chips aren’t a national security risk. But whether the reversal is good or bad depends on who you ask.