NVIDIA AI Chips Acquired by Chinese Firm Linked to Suspected Spy

A Chinese firm linked to suspected spy Alice Huang has obtained banned NVIDIA AI chips, which were subsequently installed at a Shanghai facility also tied to Huang.

According to documents reviewed by Bloomberg, the company in question had managed to acquire the restricted chips through a clandestine network of firms that have evaded China's export restrictions. At the heart of this operation is Alice Huang, who has been accused by US officials of being a spy recruited by China's main intelligence agency.

The mission allegedly aimed at gathering information on America's AI plans and coaxing NVIDIA CEO Jensen Huang into persuading the US government to lift its ban on shipping advanced chips to China. In a previously undisclosed memo, Jensen Huang reportedly acknowledged having an intimate relationship with Alice Huang before he stepped down as NVIDIA's CEO.

A Shanghai-based facility that has ties to Alice Huang is now at the center of this high-stakes operation, where the banned NVIDIA AI chips have been installed, fueling suspicions about the true intentions behind their acquisition and installation.

The trail of smuggled NVIDIA AI chips has led investigators to a Shanghai-based facility tied to Alice Huang's past endeavors. Documents reviewed by Bloomberg reveal that Aperia Cloud Services in Singapore was one of the companies involved in purchasing these banned chips. The company acquired 22 servers from Dell, each containing NVIDIA H800 chips, which are prohibited for use in China. These servers were part of a larger deal that raised concerns among Dell officials.

The files obtained from Shanghai Longteng Intelligent Computing paint a picture of how these restricted chips made their way into the country. This company was set up by Alice Huang over a decade ago and had to submit detailed information about its hardware usage to the Chinese government as collateral for financing. The documents do not specify whether Alice was directly involved in procuring the banned chips, but her sister, Huang Yu, took over as majority owner after Alice stepped down.

The Shanghai Longteng Intelligent Computing filings also shed light on the presence of other restricted components in their servers. A total of 52 units manufactured by Super Micro Computer Inc. were found to be equipped with NVIDIA's H100 or H200 chips, which can only be sold to Chinese companies with explicit US government approval. The use of these chips without proper clearance is a clear violation of regulations.

The investigation into the smuggling of NVIDIA AI chips has now reached a critical point, with several key players under scrutiny. Aperia Cloud Services, one of the companies implicated in the scandal, had its business ties severed by Dell due to concerns over the deal. This move was taken in February 2025, highlighting the growing unease surrounding the use of restricted components.

The Shanghai-based facility tied to Alice Huang's past projects is now at the center of this high-stakes operation, fueling suspicions about the true intentions behind the installation of these banned NVIDIA AI chips. The full extent of Huang's involvement remains unclear, but the trail of evidence points to a complex web of connections between various companies and individuals.

The Yangtze River Delta Project, a Shanghai AI facility, has been linked to smuggled NVIDIA chips and Alice Huang through its president, Kang Wei. Wei is reportedly married to Alice Huang and it was he who introduced her to Jensen Huang.

Kang Wei's connection to the project raises further questions about the involvement of individuals in the smuggling scandal. Megaspeed, Alice Huang's company, had previously touted the Yangtze River Delta Project as its largest AI facility when presenting to investors in 2024. As Jensen Huang prepares to testify before Congress, all of these details are likely to come under scrutiny.