Nvidia and other AI stocks climbed Wednesday, extending Tuesday's gains as Saudi partnerships stoked excitement for future deals.

Nvidia stock jumped over 3% early Wednesday after the company and fellow chipmakers announced billions of dollars worth of AI deals with Saudi Arabia.

The United States does not hold a monopoly on technological breakthroughs. As it sought to contain China’s advances in artificial intelligence, President Joe Biden’s administration tried to use restrictions on cutting-edge chips from Nvidia as a cudgel,

“AI chips should not be bargaining chips for broader trade deals,” says Janet Egan, a senior fellow at the Center for a New American Security (CNAS). “They underpin US AI dominance, and we have to be really careful to not make short term decisions that might be beneficial for trade in the near term, but cede AI leadership in the longer term.”

Advanced Micro Devices shares jumped Wednesday, as the chip designer said its board approved a fresh $6 billion share buyback program.

The Trump administration is preparing to announce a deal granting Saudi Arabia more access to advanced semiconductors, paving the way for increased data center capacity in the Gulf nation despite concerns from some US officials about its ties to China,

While the goal was to prevent countries already subject to chip restrictions, such as Russia and China, from accessing or building AI tech, it also placed Nvidia’s estimated 90