Audit companies that import high-end chips, says former deputy minister
Ong Kian Ming said the government could compare companies’ chip import records with the number of chips installed in their servers.
A former deputy minister has called for stricter government scrutiny of companies that import high-end AI chips to Malaysia, in order to prevent these components from being sent to China. Ong Kian Ming, who previously served as deputy minister for international trade and investment, suggested that the Malaysian government could audit the number of chips imported and installed in local data centers.
In a recent podcast, he explained that this would be a relatively simple process, involving tracking the flow of graphics processing units (GPUs) from Singapore and monitoring their deployment in Malaysian servers. Ong's comments come amid concerns over reports of Nvidia chips being transshipped from Singapore to Malaysia by a Malaysian subsidiary of Singapore-based cloud computing firm, Megaspeed International.
The Strategic Trade Act 2010 governs the export, transshipment and transit of strategic technology and materials, including AI chips, which could potentially end up in China. Earlier this year, the Malaysian government began requiring strategic trade permits for the export, transshipment and transit of high-performance US-made AI chips.
Experts warn that if the US enacts new regulations limiting access to restricted technology over the internet, demand for Nvidia chips could plummet, affecting both existing and newly constructed data centers in Malaysia.
Written by urgent.news from Free Malaysia Today's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.