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Nvidia Worker Among 9 Charged in Taiwan Chip Smuggling Case
🇸🇬 Singapore /Technology

Nvidia Worker Among 9 Charged in Taiwan Chip Smuggling Case

From CNA · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • Nine people in Taiwan, including an Nvidia worker, were charged for illegally exporting advanced AI servers containing Nvidia chips to China.
  • The servers were manufactured by Super Micro Computer and shipped through Indonesia, Japan, or directly to China, violating U.S. export controls.
  • Prosecutors are seeking prison sentences for seven defendants, citing the pursuit of profits and damage to Taiwan's international image.

Taiwanese prosecutors have indicted nine individuals, including an employee from tech giant Nvidia, for their alleged involvement in the illegal export of high-end artificial intelligence servers to China. The servers, manufactured by Super Micro Computer and equipped with advanced Nvidia chips, were smuggled out in violation of U.S. export controls.

high-end

— Keelung District Prosecutors Officedescribing the AI servers that were illegally exported

The investigation revealed that 74 servers were involved, with 50 transhipped through Indonesia, eight via Japan, and the remainder sent directly to China. An additional 56 servers were intercepted at Taiwan's border. Prosecutors stated that seven of the defendants face potential prison sentences of up to five years, accusing them of being driven by "exorbitant profits" and damaging Taiwan's international standing.

driven by the pursuit of exorbitant profits

— Keelung District Prosecutors Officeexplaining the motive behind the illegal export of servers

While the United States restricts the export of cutting-edge AI chips to China, such actions are not explicitly criminal offenses in Taiwan. Prosecutors are currently relying on existing laws, such as breach of trust and document forgery, to prosecute the case. The indictments include employees from Super Micro, Albatron Technology, and Chief Telecom, alongside the Nvidia worker. Neither Nvidia nor Super Micro immediately responded to requests for comment.

This not only increased corporate compliance costs but also severely damaged the nation's international image

— Keelung District Prosecutors Officedescribing the consequences of the illegal export
DistantNews Editorial

Originally published by CNA in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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