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US charges 2 Chinese nationals with sending Nvidia AI chips to China

US charges 2 Chinese nationals with sending Nvidia AI chips to China

Two Chinese nationals were arrested this week on charges that they sent tens of millions of dollars worth of advanced AI chips made by Nvidia to China in violation of US export restrictions, according to authorities.
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The defendants used a company based in El Monte, California, to export sensitive technology, including graphics processing units, used in artificial intelligence without obtaining the necessary government licences, the US Justice Department said in a statement Tuesday.
According to a criminal complaint provided by the agency, the two individuals shipped Nvidia-designed chips including the company's H100 AI accelerators, which are the basis for computers used to create and run artificial intelligence software. Such chips require official approval for sales to certain countries.
The accused were identified by authorities as Geng Chuan, 28, of Pasadena, and Yang Shiwei Yang, of El Monte. They have been charged with violating the Export Control Reform Act and could face up to 20 years in prison, according to the Justice Department.
Lawyers for the Geng and Yang could not be immediately located for comment. Spokespeople for Nvidia did not immediately respond to a request for comment.
03:34
Nvidia CEO Jensen Huang praises China's AI progress following chip sales approval
Nvidia CEO Jensen Huang praises China's AI progress following chip sales approval
Over the past several years, the US has steadily tightened restrictions on exports of semiconductors and chipmaking equipment to keep China from gaining ground in the race for AI dominance.
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