Spy twist? US allegedly bugged AI chips of Nvidia and AMD bound for China with hidden trackers
:
The US government is reportedly taking secretive steps to stop high-end AI chips from ending up in China, as per a report. According to anonymous sources cited by Reuters, federal authorities have been placing hidden location trackers inside certain shipments of AI servers and chips. This measure is part of an investigation targeting shipments suspected of being illegally diverted to China, as per the Tom's Hardware report.
Is the US Hiding Trackers in AI Chip Shipments to China?
These trackers aren't placed on every shipment, but only on those considered 'high risk,' according to the report. Because putting trackers on all shipments would be too costly, authorities focus on targeted shipments believed to be vulnerable, as per the Tom's Hardware report.
The devices have been found in shipping containers, inside server packaging, and even built into the racks holding the servers, according to the Tom's Hardware report. Some of these trackers are reportedly as large as smartphones, and have been discovered in equipment from companies like Dell and Super Micro, as per the report.
by Taboola
by Taboola
Sponsored Links
Sponsored Links
Promoted Links
Promoted Links
You May Like
Cardiologist Reveals: The Simple Morning Habit for a Flatter Belly After 50!
Lulutox
Undo
Those involved in smuggling are also aware of the tracking, according to Tom's Hardware. Court documents from a recent smuggling case reveal that suspects have warned each other to watch out for trackers on shipments, as per the report.
ALSO READ:
French woman sues employer after being paid to do nothing for 20 years, and still got salary
Live Events
Nvidia Denies Advanced AI Chips Reaching China
Meanwhile, Nvidia's CEO Jensen Huang has repeatedly denied that the company's most advanced AI chips are making their way to China, even as reports suggest a billion-dollar black market exists for these chips in East Asia, as reported by Tom's Hardware.
Why the US Is Cracking Down on AI Chip Exports to China
The US government is keen to slow China's progress in AI because it is considered a 'dual-use technology' that is applicable in both civilian and military purposes, according to the report.
Export controls have been placed on the most powerful chips from Nvidia and AMD, with bans on even specific models, especially designed to comply with the initial set of export controls like the Nvidia H20 and AMD MI308, in April 2025, as per the report.
While some restrictions have since eased, the most powerful new chips remain off-limits for export to China, according to Tom's Hardware. AMD and Nvidia have even agreed on a deal to share 15% of the sales revenue with the government in exchange for export licenses for their H20 and MI308, as per the report.
ALSO READ:
Blow to Trump's hopes as he won't like this: Fed's Daly says rate cut unlikely next
FAQs
Why is the US putting trackers on AI chip shipments?
To prevent high-end AI chips from being illegally diverted to China as part of an ongoing investigation.
Are all shipments being tracked?
No, only high-risk shipments are allegedly targeted due to cost and strategic focus.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
22 minutes ago
- Time of India
'If Trump were president in 2022, there would be no war': Putin after Alaska meeting; US President says no deal with Russia over Ukraine conflict
President Donald Trump greets Russia's President Vladimir Putin Friday, Aug. 15, 2025, at Joint Base Elmendorf-Richardson, Alaska. AP/PTI(AP08_16_2025_000011A) Russian President Vladimir Putin on Friday claimed that he would not have invaded Ukraine if Joe Biden had not been in office, a remark seen as courting Donald Trump, even as US tariff threats persist. 'I'd like to remind you that in 2022, during the last contact with the previous administration, I tried to convince my previous American colleague the situation should not be brought to the point of no return when it would come to hostilities,' Putin said after his nearly three-hour summit with Trump in Alaska. 'And I said it quite directly back then. 'That's a big mistake today, when President Trump is saying that if he was the president back then, there will be no war — and I'm quite sure that it would indeed be, so I can confirm that.' 'I think that, overall, me and President Trump have built a very good business-like [relationship],' he added. Trump has frequently expressed the belief that Putin would not have initiated the invasion had he been president in 2022, but he did not appear to engage with the dictator's provocation on Friday. Ahead of the meeting in Alaska, Trump, while in his flight, told Fox News that this Ukraine war is Biden's war and he was the one who screwed up. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like American Investor Warren Buffett Recommends: 5 Books For Turning Your Life Around Blinkist: Warren Buffett's Reading List Undo "I'm not doing it based on history, based on anything else — I'm doing it based on a deal. If we make a deal, great. If I see that there's no hope of making a deal, I'm out of there... This isn't my war. This is Biden's war. Biden screwed this up..." Putin said. Trump subtly reminded Putin that he would not engage in any business dealings with Russia until the Kremlin ceased its three-year war on Ukraine, highlighting the US' leverage. 'We … have some tremendous Russian business representatives here, and I think everybody wants to deal with us. We've become the hottest country anywhere in the world in a very short period of time,' he said. 'We look forward to dealing — we're going to try and get this over with. '… We'll have a good chance when this is over.' Trump said that he and Putin did not reach an agreement to resolve Moscow's war in Ukraine, though he characterized the meeting as 'very productive.' 'There were many, many points that we agreed on,' Trump said at a joint press conference with Putin. 'I would say a couple of big ones that we haven't quite got there, but we've made some headway. So there's no deal until there's a deal.'
Hindustan Times
39 minutes ago
- Hindustan Times
Russia lost an oil client, which is India: What Trump said before meeting Putin
US President Donald Trump and Russian President Vladimir Putin met in Alaska on Saturday and held talks the Republican described as "productive". While he said the two leaders were yet to reach a deal in terms of the Ukraine crisis, "great progress" was made. US President Donald Trump and Russian President Vladimir Putin hold a press conference following their meeting to negotiate an end to the war in Ukraine, at Joint Base Elmendorf-Richardson in Anchorage, Alaska.(REUTERS) As Trump departed for Alaska to meet his Russian counterpart earlier today, he spoke about his expectations from the meeting. In a conversation with Fox News, Trump was asked if there was an economic side to Putin coming to the table for talks, to which the US President mentioned India, saying Russia "lost a major client for their oil". "Well, they lost an oil client so to speak, which is India, which was doing about 40% of the oil, China as you know is doing a If I did secondary sanctions now, that would be devastating from their standpoint," Trump said during the interview on the plane from Washington. Trump's remarks come days after he threatened a 50% tariff on Indian imports citing New Delhi's trade of oil and military equipment with Moscow. Half of these tariffs have come into effect, and the other half are set to come into force on August 27.
Time of India
an hour ago
- Time of India
Only 52% industrial allotments functional: CAG
Noida: A CAG performance audit has exposed how Greater Noida Authority mismanaged industrial and Sports City land allotments over decades, creating massive unpaid dues and leaving ambitious projects incomplete. The audit found that unpaid dues from industrial plot allottees reached over Rs 630 crore, while another Rs 2,330 crore was stuck in the Sports City and Recreational Entertainment Park (REP) schemes. Together, they represent a staggering setback for the Authority, with projects often diverted from their intended public purpose. Between Jan 1991 and March 2021, GNIDA allotted 2,580 industrial plots covering 1,130 hectares, about one-fifth of its allotted land. Yet by April 2021, only 1,341 plots (52%) were functional, many after delays as long as 19 years. Just 147 plots (11%) met the original development timelines. You Can Also Check: Noida AQI | Weather in Noida | Bank Holidays in Noida | Public Holidays in Noida | Gold Rates Today in Noida | Silver Rates Today in Noida Out of these, 972 allottees defaulted on payments, resulting in Rs 630 crore in unpaid land premiums, lease rent, and interest. Over Rs 374 crore of these dues arose from allotments made between 2005–06 and 2020–21. Instead of cancelling allotments or recovering dues, GNIDA allowed defaulters to retain plots, in some cases, even enabling them to profit by transferring them to others. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like American Investor Warren Buffett Recommends: 5 Books For Turning Your Life Around Blinkist: Warren Buffett's Reading List Undo In Sector Ecotech-XI, 193 plots were allotted before the sector's development was complete. Lease deeds for 139 plots could not be signed due to litigation over land acquisition, which stalled roads and electricity. Instead of cancelling allotments, GNIDA waived penalties and extended deadlines, losing Rs 142 crore as deeds were later signed at outdated rates. The CAG found delays of up to 1,804 days in issuing lease deed checklists, resulting in a Rs 4 crore loss in lease rent, and failure to recover Rs 15 crore in charges for changes in shareholding. Weak eligibility norms until 2018 encouraged speculative trading, with allottees selling stakes before starting any industrial work. Launched between 2011 and 2014, the Sports City and REP schemes promised integrated sports infrastructure, golf courses, cricket academies, and facilities to host international events. None of the projects were complete as of March 2022. Four large land parcels were allotted under the schemes. Among them were Sports City-1 (Sector Techzone IV), where over 5 lakh sqm was allotted to MMR Construction for Rs 354 crore, and later split into 13 subdivisions. For Sports City-2 in Sector 27, 7 lakh sqm was given to Supertech Ltd for Rs 903 crore, and later divided into four sub-plots. For REP-1 in Sector 27, 4 lakh sqm was allotted to RBA Buildtech for Rs 327 crore and for REP-2 in Sector 27, 3 lakh sqm was given to Ultra Home Construction for Rs 382 crore—plot was later split into three sub-plots. Scheme rules mandated that 70–75% of the land be dedicated to sports/recreation. But by April 2021, 19 of 20 sub-allottees had defaulted, leaving Rs 2,330 crore unpaid. The brochures favoured real estate developers, requiring no prior sports infrastructure experience or detailed project reports. Sports bodies like BCCI or Sports Authority of India were never consulted. Consortium structures allowed inexperienced firms to qualify using partners' credentials, then exit after allotment. In Sports City-1, MMR Construction relied on NKG Infrastructure's credentials; NKG exited before lease signing, and MMR later abandoned one sub-project mid-way, violating rules. GNIDA removed the "lock-in" rule for Sports City-2 and REP-1, which had required lead members to retain a 30% stake until completion of a phase, making it easier for non-serious players to flip land. By permitting higher Floor Area Ratio (FAR) and more ground coverage for residential development, GNIDA gave allottees undue benefits worth Rs 470 crore. Another Rs 690 crore was lost by underpricing land and ignoring key cost factors. The focus shifted from sports to housing, with facilities reduced to token features — a small pool, a tennis court, or a putting green — meant only for residents, not public use. By March 2023, of 20 sub-allottees in Sports City and REP projects, five allotments were cancelled, and five opened escrow accounts. Ten had not opened escrow accounts despite notices. Rules in the brochures were inconsistently applied. GNIDA accepted incomplete Memorandums of Agreement between consortium members, failed to collect Rs 37.40 crore in "Change in Constitution" charges, and gave mortgage permissions despite large unpaid dues — a flawed practice followed since 2006. Even approved layouts did not safeguard large sports areas like planned golf courses. In the absence of clear technical standards, promised sports facilities never materialised, leaving the land primarily used for residential construction. Stay updated with the latest local news from your city on Times of India (TOI). Check upcoming bank holidays , public holidays , and current gold rates and silver prices in your area. Get the latest lifestyle updates on Times of India, along with Happy Krishna Janmashtami Wishes ,, messages , and quotes !
