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Singapore Scheme May Have Funneled Nvidia Chips to DeepSeek

Feb 28, 2025 - gizmodo.com
In Singapore, three individuals, including two Singaporeans and a Chinese national, have been charged with fraud for allegedly misrepresenting the delivery of items to a server supplier. Local media suggest these items were high-end Nvidia chips, potentially rerouted to the Chinese AI company DeepSeek, which is under scrutiny for using restricted technology. The charges, which could lead to up to 20 years in prison, are part of a larger investigation involving nine arrests and raids on 22 locations, where authorities seized documents and electronic records.

This case may be part of a broader scheme to bypass US sanctions that prohibit the export of certain semiconductors to China. DeepSeek, which gained attention for its high-performance AI model, is suspected of acquiring these chips through third parties in Singapore. The US Department of Commerce is investigating whether DeepSeek used unauthorized channels to obtain Nvidia chips, and the recent arrests in Singapore may provide evidence supporting these suspicions.

Key takeaways:

  • Three individuals in Singapore were charged with fraud for allegedly lying about the delivery of items, suspected to be Nvidia chips, to a server supplier.
  • The fraud case is linked to Chinese AI company DeepSeek, which allegedly received the Nvidia chips despite export restrictions to China.
  • Singaporean authorities conducted raids at 22 locations, arresting nine people and seizing documents and electronic records as part of the investigation.
  • The US Department of Commerce is investigating whether DeepSeek used third parties in Singapore to acquire restricted Nvidia chips, following suspicions about their AI model's performance.
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