Nvidia senior manager linked to Supermicro scheme smuggling AI servers to China
Nvidia worker indicted after Jensen Huang scolded Supermicro for AI server smuggling.
Nine individuals, including a senior Nvidia manager and two Supermicro employees based in Taiwan, have been indicted for allegedly aiding in the concealment of illegal exports of high-performance AI servers to China, in violation of US export regulations. Keelung prosecutors announced the indictments on Monday, stating the suspects face charges of "breach of trust" and "document forgery."
However, one suspect remains at large, accused of embezzling funds from a distributor company involved in the scheme to allow China access to restricted Nvidia chips. Since 2022, the US has mandated a license for exporting semiconductors to China, aimed at safeguarding national security and maintaining a competitive edge in the AI sector against China.
In March, Supermicro's co-founder, Wally Liaw, was arrested by US authorities for allegedly shipping $2.5 billion worth of restricted AI servers to China since 2024. This prompted Taiwan to initiate an independent investigation to uncover the extent of the illicit activities.
Written by urgent.news from Ars Technica Policy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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