Nvidia Corporation is confronting its most challenging trading period in more than a year following a decisive move by American authorities. On Friday, November 7, 2025, the White House eliminated any remaining avenues for the technology giant to supply even its specially-designed, downgraded artificial intelligence chips to Chinese customers. The company’s market valuation has plummeted by over $800 billion since the week began, with CEO Jensen Huang delivering additional sobering news to investors.
Complete Closure of Chinese Market Access
Washington’s latest restrictions have effectively sealed the final loophole Nvidia attempted to utilize for maintaining its Chinese operations. The company’s B30A processor—a deliberately weakened version of its advanced AI chips created specifically for the Chinese market—has been explicitly barred from export. This development represents the most significant blow to Nvidia’s efforts to circumvent existing trade limitations.
During recent communications, Jensen Huang acknowledged that Nvidia currently maintains no active discussions regarding sales of its sophisticated Blackwell series to Chinese clients. The CEO further clarified that no shipments are scheduled, effectively terminating market speculation about potential workarounds.
Advertisement:
As Nvidia contends with export limitations, investors might consider examining alternative opportunities within the artificial intelligence sector—a complimentary special report highlights three undervalued AI beneficiaries positioned to potentially gain from these developments. Download Free AI Investment Alternatives Report
Should investors sell immediately? Or is it worth buying Nvidia?
Anticipated Billion-Dollar Consequences
The financial implications of this market exclusion are substantial. Industry analysts had previously estimated Nvidia’s quarterly China revenue potential between $2 and $5 billion. Huang himself had suggested the unrestricted Chinese opportunity could have reached approximately $50 billion in total value. These revenue streams have now been effectively eliminated.
Key developments in the current situation:
- Share price collapsed to $188.15
- Market capitalization reduced by over $800 billion since Monday
- Most severe weekly decline recorded in over twelve months
- Chinese market historically represented significant portion of datacenter revenue
Strategic Partnership Fails to Offset Concerns
The negative developments overshadowed what would otherwise represent positive corporate news. In late October, Nvidia announced a multi-billion dollar collaboration with Nokia to develop AI-enhanced mobile networks—a strategic positioning for the forthcoming 6G technology era. However, this announcement provided minimal counterbalance to investor concerns regarding the immediate threat posed by the complete closure of Nvidia’s Chinese business.
Pivotal Earnings Report Approaches
All attention now turns to Wednesday, November 19, 2025, when Nvidia will disclose quarterly results after market close. This presentation will mark the first occasion management must formally address the financial consequences of intensified export controls. Wall Street researchers project earnings per share between $1.17 and $1.25, with revenue approximating $54.7 billion.
The company’s forward guidance will prove critical: What strategy does Nvidia intend to implement for replacing lost Chinese revenue? How will the corporation navigate this complex geopolitical environment? Management’s responses will likely determine the stock’s future trajectory—and whether the recent massive erosion of market value represents merely the beginning of a longer downturn.
Ad
Nvidia Stock: Buy or Sell?! New Nvidia Analysis from November 8 delivers the answer:
The latest Nvidia figures speak for themselves: Urgent action needed for Nvidia investors. Is it worth buying or should you sell? Find out what to do now in the current free analysis from November 8.
Nvidia: Buy or sell? Read more here...
