Taiwan prosecutors detained a Nvidia employee as part of a probe into alleged illegal exports of Super Micro AI servers to China, Taiwan’s local media reported.

Probe Details

The Keelung District Prosecutors Office said in a statement that a suspect, surnamed Chang, was questioned after authorities searched his home and workplace. Chang was later detained after prosecutors argued there was a risk he could flee, destroy evidence or collude with accomplices or witnesses.

The servers were equipped with Nvidia chips subject to U.S. export controls, the prosecutors said. These curbs imposed by Washington since 2022 make it illegal for these semiconductors to be exported or sold in mainland China.

Nvidia did not confirm whether the suspect was its employee. In a statement, the company said: “We primarily sell our products to well-known partners, including OEMs, who help us ensure that all sales comply with U.S. export control rules.”

Investigation Background

The latest action was part of a third round of searches in the investigation, following earlier rounds in May and June. In May, Taiwanese prosecutors launched the first round, detaining three people suspected of illegally exporting Super Micro’s high-end AI servers equipped with restricted Nvidia chips to China.

In late June, Taiwanese prosecutors launched a second round, detaining two Super Micro workers at its Taiwan unit. In March, the U.S. Justice Department charged three people associated with Super Micro, including one of its co-founders, with helping smuggle at least $2.5 billion worth of U.S. AI technology to China in violation of U.S. export controls.

Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.