Taiwan Indicts Eight Over Illegal Export of Nvidia AI Servers to China
2 sources across 2 countries · Taiwan · United Kingdom
Who reported this
- Focus Taiwan
- Reuters
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- Centre-left
- Centre
- Centre-right
- Right
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The Keelung District Prosecutors' Office has indicted eight individuals for allegedly illegally selling Supermicro servers equipped with advanced Nvidia chips to buyers in China. The defendants include senior managers from the Taiwan branches of Nvidia and Supermicro, as well as executives from distribution and trading firms. The charges include breach of trust and forgery.
According to prosecutors, the advanced AI servers equipped with Nvidia B300 GPUs are subject to strict controls by both Nvidia and Supermicro. Buyers must be on a whitelist and provide documentation regarding end users and end uses. For orders exceeding eight servers, the companies require site inspections to verify intended use, and resale is prohibited.
Prosecutors allege that in February 2025, executives from Flying Tiger Technology Co. sought to resell these servers for profit. In one instance, the defendants allegedly concealed the fact that a data center provider, Chief Telecom, lacked the electricity and bandwidth to support 130 servers. This led Supermicro to agree to the sale after a distribution manager at Nvidia allegedly claimed verification had been completed.
Across three transactions, 74 servers were successfully delivered to Chinese buyers. Some shipments were routed through Indonesia, while others went through Japan and Hong Kong. Authorities seized 56 servers in Taiwan. Prosecutors state that the person in charge of Flying Tiger Technology Co. who remains at large, received more than 21.2 million US dollars in illicit proceeds from the completed sales.
How each side framed it
- Centre
- Both sources provided a factual account of the legal proceedings and the specific mechanisms used to bypass export controls.
Sources
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