Key facts
- Nine individuals, including an Nvidia manager and Super Micro employees, were indicted in Taiwan.
- They are accused of forging documents to illegally export AI servers with Nvidia chips to China.
- The scheme aimed to circumvent U.S. export controls on semiconductors.
- 74 servers were exported to China, and 56 were intercepted by Taiwanese customs.
- Nvidia and Super Micro are cooperating with Taiwanese authorities.
Taiwan prosecutors have indicted nine individuals, including an employee of Nvidia's Taiwan unit and two employees of Super Micro's Taiwan unit, for allegedly forging documents to illegally export artificial intelligence servers equipped with Nvidia chips to China. The scheme aimed to circumvent U.S. export controls that have been in place since 2022, requiring licenses for such semiconductors to be sold in China.
Prosecutors in Keelung stated that eight individuals were charged with breach of trust and document forgery. A ninth defendant faces charges in a related case involving the alleged siphoning of funds from a distributor. The alleged operation involved falsifying end-user documents to suggest that 130 B300 servers ordered from Super Micro would be installed locally in Taiwan. Of these, 74 servers were ultimately exported to Chinese customers, while 56 were intercepted by Taiwanese customs officials due to detected irregularities.
Nvidia stated its employees have incentives to ensure compliance and that the company would assist Taiwanese authorities in resolving the allegations. Super Micro confirmed its cooperation with the investigation, which led to the arrests, and asserted it is not a target of the probe and has not been accused of wrongdoing. The company also noted that two former employees of its Taiwan subsidiary were among those indicted.
Taiwan has been strengthening export controls to prevent advanced technology from reaching China. The alleged scheme highlights challenges in enforcing these controls, with prosecutors noting the defendants' awareness of rigorous internal procedures at Nvidia and Super Micro, and their alleged collusion for profit, which increased compliance costs and damaged Taiwan's international image.