Bloomberg investigation presses Nvidia on why its chips keep reaching China despite US curbs

Bloomberg published an investigation on 1 October into how restricted Nvidia AI chips keep reaching Chinese buyers despite US export controls. Bloomberg's page could not be opened from here, so this story rests on two outlets that report it.

The investigation detailed warning signs that Nvidia's oversight apparently failed to catch, including surveillance imagery of labels being stripped off servers, Bloomberg reported, according to Crypto Briefing. Government officials believe the company is not doing all it could to stop the illegal trade, Bloomberg reported, according to Engadget.

Nvidia pushed back. “A startup's growth plan in a friendly nation is an opportunity for America, not a 'red flag' to be feared,” a spokesperson said, Engadget reported. The company says it has abided by the rules and has never been accused of abetting smuggling, according to Engadget.

The feature landed alongside a new prosecution. The US charge against Earthmade's owner, Greg Lui, over GPU servers shipped to China ran separately in the Switchboard under 1 October, in the true-up's first batch. This story covers only Bloomberg's investigation and Nvidia's reply.

Export controls are Washington's main lever on China's AI build-out, and Bloomberg's account suggests their enforcement depends heavily on how closely the chipmaker checks its own customers. Bloomberg's own figures are not visible from here.

• Reported Bloomberg's investigation detailed warning signs Nvidia's oversight apparently missed, including imagery of labels stripped off servers, according to Crypto Briefing. Crypto Briefing
• Reported Officials believe Nvidia is not doing all it could to stop the trade, Bloomberg reported, according to Engadget. Engadget
• Claimed An Nvidia spokesperson said a startup's growth plan in a friendly nation is an opportunity, not a red flag, Engadget reported. Engadget