As a fabless semiconductor company, Nvidia only designs its chips. Their actual production is outsourced to foreign companies like Taiwan Semiconductor Manufacturing (TSMC), which produces them with the help of EUV machines from the Dutch company ASML.

Nvidia (NASDAQ: NVDA) stock is soaring in Wednesday's trading. The company's share price was up 14.1% as of 2:10 p.m. ET amid a 7.8% rally for the S&P 500 index and a 10.1% jump for the Nasdaq Composite index.