What happened
Former President Trump plans to exempt Amazon, Google, and Microsoft from a forthcoming wave of chip tariffs. This policy decision prevents new import duties on semiconductors critical for these major technology companies. The exemption specifically targets their chip supply, distinguishing these firms from other entities potentially facing increased hardware costs under the new tariff regime.
Why it matters
Procurement teams and CTOs face reduced supply chain risk because this exemption stabilises component costs for Amazon, Google, and Microsoft. This contrasts with the US government's January 2026 tariffs on Nvidia H200 chips, which increased hardware acquisition costs for other firms. The decision creates an uneven competitive landscape, potentially favouring these exempted companies in cloud infrastructure and AI development due to lower operational expenditure.
