Feds Bust $62M Nvidia Chip Smuggling Ring Bound for China
DOJ charges three for allegedly trying to sneak export-controlled A100 and H100 GPUs into China.
The Department of Justice has charged three individuals — a Chinese national and two Americans — for allegedly attempting to smuggle approximately $62 million worth of Nvidia's export-controlled A100 and H100 chips to China.
The high-end AI accelerators have been restricted from export to China under US trade controls designed to limit Beijing's access to cutting-edge AI hardware. That hasn't stopped people from trying.
The case also appears to involve San Jose-based server manufacturer Supermicro, adding another layer to an already messy situation. Details on Supermicro's exact role remain thin.
Nvidia's A100 and H100 GPUs are among the most sought-after chips on the planet, powering everything from AI training clusters to advanced research. Black market demand has surged since export restrictions kicked in, making smuggling operations increasingly lucrative — and increasingly risky.
Three people just found out how risky.