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California CEO Arrested Over Smuggling of NVIDIA GPUs to China

The charges turn on the routing workaround rather than the hardware itself: unlicensed shipments went first to Malaysia and Singapore, where no license applies, and from there into China.

Reporting from 1 source: GIGAZINE.

California CEO Arrested Over Smuggling of NVIDIA GPUs to China

Greg Lui, 38, CEO of Earthmade Computer, was arrested on a three-count federal indictment. He is accused of conspiring with five others to ship export-controlled servers carrying NVIDIA A100, H100, GeForce RTX 4090 and GeForce RTX 5090 GPUs to customers in China without U.S. Commerce Department licenses, routing goods through Malaysia and Singapore. Prosecutors put the total value above $300 million.

Earthmade Computer, based in the City of Industry in Los Angeles County, sells third-party hardware including Supermicro, an NVIDIA partner. According to the indictment, the shipments ran from October 2023 to August, with export documents falsified while Lui knew the end users were in China.

Two Malaysia-based companies paid Earthmade more than $176 million, prosecutors say. A separate City of Industry company, Topmost Corp, which offered access to NVIDIA GPUs through cloud servers, is also named in the indictment.

Synthesized by Yomimono from the 1 cited source below, including Japanese-language reporting where cited, then editorially reviewed before publishing.

Sources