A Chinese company founded by Alice Huang procured smuggled Nvidia (Nasdaq: NVDA) AI chips that were installed at a Shanghai data center linked to Megaspeed International, Bloomberg reported on November 13, citing documents its journalists reviewed. The hardware was subject to US restrictions on exports to China.
Some of the servers were originally sold to Aperia Cloud Services, a Singapore-based official Nvidia Cloud Partner, a person familiar with the matter told Bloomberg. The account raises questions about how equipment sold through overseas partners reached a restricted destination; it does not by itself establish Nvidia’s knowledge of that route.
Nvidia shares traded at $162.40, down 2.28%, at 15:06 UTC on Friday, according to CNBC’s market quote, after opening at $169.91. The stock was already facing volatility over Jensen Huang’s departure and uncertainty about US chip-export policy.
In a November 12 statement, Megaspeed said it had cooperated with Commerce Department inspections and retained a US law firm to conduct a comprehensive GPU census and independently verify its export-control compliance practices. That statement preceded Bloomberg’s latest findings.
The report adds to scrutiny surrounding the Megaspeed inquiry we previously covered. Nvidia’s board has separately commissioned an independent review, while CFO Colette Kress is serving as interim CEO. The company’s leadership announcement said operations and customer commitments were expected to continue uninterrupted.
