US installs location trackers in advanced chip shipments to prevent illegal diversion to China: Report
The report said the measures aim to identify AI chips that are being diverted to destinations subject to export restrictions by the US and apply to only specific shipments under investigation.
The trackers can assist in building cases against individuals and companies that profit from breaching US export laws, the report said.
Location trackers are investigative tools used for decades by US law enforcement to monitor products subject to export restrictions, such as airplane parts. Recently, they have been used to fight the illegal diversion of semiconductors.
The people involved in the AI server supply chain said they know about the trackers in shipments of servers from manufacturers such as Dell and Super Micro, which include chips from Nvidia and AMD.
Notably, those involved in redirecting export-controlled chip and server shipments to China confirmed they were aware of the devices.
These people said the trackers are mostly hidden in the packaging of the server shipments.
Livemint could not independently verify the report.
In a 2024 case, a shipment of Dell servers with Nvidia chips contained both large trackers on the boxes and smaller devices hidden inside the packaging and within the servers.
Additionally, a person also claimed to have seen images and videos showing trackers being removed by other chip resellers from Dell and Super Micro servers. The person mentioned that some of the larger trackers were approximately the size of a smartphone.
Meanwhile, the Chinese Foreign Ministry stated they were not aware of the issue.
Dell noted that they are 'not aware of a U.S. Government initiative to place trackers in its product shipments.'
Nvidia informed, 'We don't install secret tracking devices in our products.'
The US, a dominant leader of the global AI chip supply chain, has aimed to restrict exports of chips and related technology to China in recent years to curb its military modernisation. Additionally, it has limited chip sales to Russia to weaken its war efforts against Ukraine.
The White House and both chambers of Congress have proposed that US chip companies incorporate location verification technology into their products to ensure they are not diverted to countries where US export restrictions apply.
China has criticised the US export restrictions as part of a campaign to curb its rise and condemned the location-tracking proposal. Last month, China's cyberspace regulator summoned Nvidia to voice concerns over the risks of its chips containing "backdoors" that could allow remote access or control, which the company has strongly denied.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
an hour ago
- Time of India
Microsoft launches 'Urgent Probe' into Azure cloud business in Israel for which it had once faced "Shame on you" protests from some employees
Microsoft has launched an "urgent" probe into whether its cloud technology is being used by Israel for a large-scale surveillance operation targeting Palestinians. The announcement follows a new report from The Guardian and comes after two years of protests from both within and outside the company over its contracts with Israel. The company claims it's launched an 'urgent' probe into whether its cloud business is being used by Israel to conduct a massive surveillance operation in Gaza. Microsoft has seen some of its events disrupted by pro-Palestian protestors in the last two years. This includes its 50th anniversary celebrations as well. During Microsoft's 50th anniversary celebrations, an employee disrupted the keynote event where Microsoft's three CEOs -- two former and one current -- were on stage. In another 50th anniversary event, an employees reportedly yelled 'Shame on you' while calling the company's head of AI a 'war profiteer' who was 'using AI for genocide.' What the report claims on Microsoft and Israel's intelligence agency The Guardian's report claims that Unit 8200, Israel's intelligence agency, has been using a customized and isolated area of Microsoft's Azure cloud platform. According to the report, this cloud setup was used to create a system that records and stores millions of daily phone calls made by Palestinians in Gaza and the West Bank. The report alleges that this arrangement was part of a deal with Microsoft CEO Satya Nadella. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like This Could Be the Best Time to Trade Gold in 5 Years IC Markets Learn More Undo Microsoft's probe will be led by attorneys from the law firm Covington & Burling. In a statement to The Guardian, the company said the new report "raises additional and precise allegations that merit a full and urgent review." The company also noted that if Israel is using Azure for mass surveillance of civilians, it would be a violation of Microsoft's terms of service. This is the second time Microsoft has opened a legal review into its relationship with the Israeli government. A previous probe was launched earlier this year following employee protests, which have disrupted company events and conferences. That investigation, which concluded in May, found "no evidence to date that Microsoft's Azure and AI technologies have been used to target or harm people in the conflict in Gaza." The new probe, however, will specifically address the claims of widespread surveillance. AI Masterclass for Students. Upskill Young Ones Today!– Join Now
United News of India
2 hours ago
- United News of India
Dy CM Ajit Pawar urges sugarcane farmers, sugar millers in Sangli to use AI tech
West Sangli, Aug 16 (UNI) Maharashtra's Deputy Chief Minister, Ajit Pawar today urged sugarcane farmers and sugar millers in Sangli district to make effective use of AI technology. He noted that successful experiments using AI have been conducted in the agricultural sector, where AI is used effectively for saving water and fertiliser, and increasing tonnage. He also said that the district should take the initiative to hold an Agri-Hackathon, which would benefit fruit growers and other farmers. Addressing a review meeting of various development works and schemes at the district collector's office, he said that the administration should take people's representatives into confidence and prioritise solving the problems of the citizens. The Deputy CM also said that funds from the District Planning Committee should be spent on the right works and within the prescribed time. Pawar said attention should be paid to ensuring that the funds are not wasted and the works are of high quality. He also indicated that the relevant agencies should ensure that the funds received by the District Planning Committee for local self-government bodies do not remain unspent under any circumstances. UNI SSS RN
Time of India
2 hours ago
- Time of India
How to fix the DLSS/DLAA issue in Battlefield 6 open beta?
Battlefield 6 second open beta weekend is in full flow right now. After a humongous success in the first weekend, the second stint has also managed to garner a huge playerbase, as over 300k players are playing the game right now. Tired of too many ads? go ad free now Despite the game's unreal love from the fans, it showcased several issues, which might have disrupted the gameplay vibe of many. However, the developers were quick to fix one of those issues, and made sure that nothing comes in between the players and Battlefield 6. Battlefield 6 open beta : Steps to fix the DLSS/DLAA issue The second open beta weekend came up with . For instance, many players were unable to get into a match despite queuing up in the matchmaking process for a long time. Some players even complained that they didn't find the option to play the game at all after launching it. Fans faced problems regarding the Party System of BF6 as well, which caused communication problems among them. One of the most serious issues was the absence of the DLSS and DLAA option in Battlefield 6. Those who own an NVIDIA GPU know how significant these two features are. These two are advanced visual technologies which increase the frame rate and boost graphical qualities respectively. But fans couldn't find either of those two in the second open beta weekend, although they were available in the first weekend. However, players don't need to break their sweat anymore as the official Twitter handle of Battlefield Comms has recently announced that the developers have worked with NVIDIA to fix this issue. That means the DLSS/DLAA option will now be available in the game. But even if it still doesn't show up, then players advised to follow these steps: First, restart your PC. Then restart (or reinstall) the NVIDIA app. After that, just launch the game and the DLSS/DLAA will be shown in the game. Try out this fix as soon as possible because there is not much time left for the Battlefield open beta to end. After that, players will be able to play the game only from October 10, 2025, when the game gets fully released on all major platforms. Read More:
