Smuggling
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Nine Charged in Taiwan Over Smuggled AI Servers, With NVIDIA and Super Micro Staff Among Them
Taiwanese prosecutors have indicted nine individuals, including staff from NVIDIA and Super Micro, for allegedly smuggling AI servers to China. The defendants are accused of colluding for profit and circumventing strict export control procedures, despite being aware of the rules. This case highlights Taiwan's critical role in the AI supply chain as a final checkpoint for chip exports.
Taiwanese authorities detain Nvidia employee for alleged attempt to smuggle AI chips into China
An Nvidia employee in Taiwan, identified as 'Chang,' has been detained on suspicion of falsifying documents to export approximately 50 Super Micro servers containing Nvidia AI chips to China. This incident is part of a broader investigation into potential AI chip smuggling routes. Nvidia has stated that smuggling is unacceptable and that all sales comply with US export control rules.
AI Yi-Yi!
Nvidia is reportedly tightening its authorized customer list in Asia to curb the smuggling of AI chips. Separately, a report questions the government's use of AI for housing policy, with details remaining undisclosed.
Printer-based scheme attempted to smuggle $8,967,742 worth of cocaine into Australia
An Australian man has been sentenced to nine years in prison for his role in a scheme to smuggle 22.4kg of cocaine into the country hidden inside printers. The Australian Federal Police intercepted the shipment in Melbourne in 2017. The printers used in the smuggling operation were reportedly Xerox machines, and the cocaine had an estimated street value of up to $12.4 million AUD.
Morning Legal Briefs
UK police have suspended live facial recognition technology following a study that revealed racial bias. Separately, the co-founder of a major datacenter company faces charges for allegedly smuggling $2.5 billion worth of AI chips to China.
The co-founder of a major datacenter company has been charged with smuggling $2.5 billion in AI chips to China
Three businessmen, including Supermicro co-founder Yih-Shyan Liaw, have been charged by the US government for allegedly smuggling $2.5 billion worth of AI chips and computer servers to China. The scheme involved removing labels and serial numbers to conceal the origin of the sophisticated US technology. The charges carry potential prison sentences and highlight the high demand and value of AI chips globally.
Super Micro (SMCI) Co-founder Yih-Shyan Liaw charged with smuggling NVIDIA (NVDA) AI chips to China
Super Micro Computer co-founder Yih-Shyan Liaw and two other employees have been charged with smuggling NVIDIA AI chips to China. The charges involve multiple counts related to the illicit transfer of NVIDIA technology.