US Leverages Nvidia Chips to Facilitate Peace Agreement Between Armenia and Azerbaijan

US negotiators utilized a commitment to acquire Nvidia's artificial intelligence chips to help facilitate a preliminary peace agreement reached between Armenia and Azerbaijan last year. To encourage Armenia's participation in the negotiations, the US expanded chip procurement approval for its data center projects. This initiative has become one of the most notable examples of what US officials refer to as "chip diplomacy." The Armenia agreement marks the first instance of the Trump administration publicly using such tactics to broker a peace deal, further deepening the relationship between the White House and the world's largest chip manufacturer.

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