Nvidia CEO scandal exposes gaps in US chip controls

Nvidia CEO scandal exposes gaps in US chip controls

A Chinese university with ties to the country’s military was able to obtain Nvidia’s most powerful chips last month despite being on a US blacklist, Reuters reported, as scrutiny over the chipmaker reveals holes in Washington’s regulatory framework.

The disclosure comes as lawmakers press the Trump administration on its investigation into Megaspeed, the Singapore firm at the center of the Jensen Huang spy scandal, amid reports that the Commerce Department has delayed efforts to blacklist the company suspected of smuggling Nvidia chips to China.

US restrictions have accelerated Beijing’s efforts to develop homegrown semiconductors — independence that will allow it “to scale faster than the US,” Semafor’s tech editor argued: Nvidia, crucial to the US’ advantage, will be “fundamentally weakened” without Huang.

— Brendan Ruberry

In brief

A Chinese university with ties to the country’s military was able to obtain Nvidia’s most powerful chips last month despite being on a US blacklist, Reuters reported, as scrutiny over the chipmaker reveals holes in Washington’s regulatory framework. The disclosure comes as lawmakers press the Trump administration on its investigation into Megaspeed, the Singapore firm at the center of the Jensen Huang spy scandal, amid reports that the Commerce Department has delayed efforts to blacklist the company suspected of smuggling Nvidia chips to China. US restrictions have accelerated Beijing’s efforts to develop homegrown semiconductors — independence that will allow it “to scale faster than the…

This is the opening of the story, shared with credit to Semafor. The rest of the report — with every detail — continues on the publisher’s website.

Continue reading at Semafor ↗

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