Chuan Geng and Shiwei Yang were arrested for allegedly shipping tens of millions of dollars worth of high-performance AI chips from the U.S. to China, violating the Export Control Reform Act. They face a maximum of 20 years in prison. The DOJ stated that Geng and Yang knowingly shipped sensitive technologies, particularly GPUs, through ALX Solutions. Investigations revealed shipments to freight companies in Singapore and Malaysia, with payments from Hong Kong and China. Nvidia's spokesperson reiterated that smuggling would lead to product non-support and emphasized adherence to export control regulations.
Two Chinese nationals, Chuan Geng and Shiwei Yang, were arrested for allegedly shipping tens of millions of dollars worth of high-performance AI chips to China.
The DOJ charged them with violating the Export Control Reform Act, with a maximum penalty of 20 years in prison.
ALX Solutions, the California-based company involved, was identified as shipping sensitive technologies, including likely Nvidia GPUs, to China.
An Nvidia spokesperson highlighted that smuggling is a nonstarter and emphasized compliance with U.S. export control rules.
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