Tech

US Investigates Singapore for Supplying NVIDIA AI Chips to Chinese Companies like DeepSeek

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NVIDIA RTX

The United States is investigating whether Singapore acted as an intermediary to supply NVIDIA’s high-end AI chips to China, despite strict export bans. If proven, this loophole could have serious consequences for global AI trade.

US Targets Possible Trade Loophole

The investigation follows concerns that DeepSeek, a Chinese AI firm, acquired NVIDIA’s restricted chips through third-party suppliers in Asia. Bloomberg reports that US officials suspect Singapore may have played a key role, allowing China to bypass restrictions.

According to data from @KobeissiLetter, NVIDIA’s sales to Singapore surged 740% since DeepSeek was founded. Given that Singapore has only 99 data centers, such a sharp increase raises questions about whether these chips were re-exported to China.

China Still Accessing Advanced AI Chips

China reportedly imported more AI chips from Singapore than from the US. Despite restrictions, DeepSeek has acquired over 10,000 NVIDIA H100 AI chips and 10,000 H800 chips, valued at $1.6 billion. These GPUs power cutting-edge AI models, showing that China still has access to top-tier AI hardware.

Potential Impact on NVIDIA and AI Market

If the US confirms Singapore’s involvement, NVIDIA’s AI business could be hit hard, as 20% of its AI revenue is at risk. The US could impose stricter export controls, affecting both NVIDIA and global AI markets.

Singapore isn’t the only suspect—the Philippines is also under scrutiny for possibly supplying chips to China. If the US closes these loopholes, China may struggle to access cutting-edge AI hardware in the future.

Written by
Sazid Kabir

I've loved music and writing all my life. That's why I started this blog. In my spare time, I make music and run this blog for fellow music fans.

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