Chinese state funds backed purchases of restricted Nvidia AI chips, report says

A Chinese state-backed financing entity, Semi-Tech Leasing Group Co., has funded the acquisition of restricted NVIDIA AI processors, indicating Beijing's proactive involvement in enabling access to advanced American technology despite stringent export regulations. This financial backing underscores China's commitment to advancing its artificial intelligence capabilities, as reported by Bloomberg News based on Chinese regulatory disclosures.

The support, provided by Semi-Tech Leasing Group, facilitated the purchase of over 700 servers by AI infrastructure provider Glory View Technology Co. According to filings with the People's Bank of China, one transaction specifically funded 32 Asustek Computer servers equipped with Nvidia's powerful B300 Blackwell chips. Although the batch of Blackwell-equipped servers is presently limited, the disclosure highlights persistent loopholes in Western trade restrictions aimed at impeding China's technological advancement.

Nvidia is conducting an investigation into the matter with its manufacturing partners, while Asus reaffirms its adherence to international export control regulations. Originally established with backing from China's national semiconductor fund, Semi-Tech Leasing is now predominantly governed by municipal government entities in Shenzhen and Beijing.

The leasing company has invested over 11 billion yuan ($1.6 billion) into compute infrastructure, playing a pivotal role as a financing catalyst for China's AI initiatives. Through a series of sale-and-leaseback agreements initiated in mid-2025, Glory View secured more than 3 billion yuan ($450 million) to augment its data center capabilities.

The bulk of the procured hardware was destined for a major China Mobile data center in Ningxia, a critical node in China's state-supported data center network. In response to initial scrutiny, Semi-Tech Leasing resubmitted revised filings to Chinese credit registries, omitting specific hardware descriptions, supplier information, and server model details.

These selective omissions reflect ongoing efforts by domestic market participants to conceal the supply chains fueling China's rapid AI infrastructure development.