DOJ fees two in California over unlawful exports of Nvidia AI chips to China

The U.S. Division of Justice has charged two Chinese language nationals with illegally exporting tens of tens of millions of ‘ price of superior AI chips, together with Nvidia’s H100 processors, to China between October 2022 and July 2025.

• by way of an organization known as ALX Options out of California, based shortly after U.S. export controls on high-end semiconductors took impact
• the agency allegedly circumvented U.S. restrictions by funneling shipments by way of Singapore and Malaysia, widespread transshipment hubs, earlier than remaining supply to China.

The chips in query embrace Nvidia’s H100 GPUs, that are tightly restricted underneath U.S. export guidelines because of their function in powering synthetic intelligence techniques.

The case comes amid rising issues in Washington about unauthorized AI chip flows into China, with latest stories estimating that over $1 billion price of restricted chips could have entered China regardless of tightened controls.

This text was written by Aaron Cutchburt at investinglive.com.