Three charged with illegal diversion of US AI technology to China
Three charged with illegal diversion of US AI technology to China
Publish Date: 2026-03-21 06:23:00
Source Domain: americanbazaaronline.com
On March 19, the US Attorney’s Office for the Southern District of New York charged three people in connection with the smuggling of at least $2.5 billion of American AI technology to China. The charge is being handled by U.S. District Judge Edgardo Ramos.
The US Department of Justice (DOJ) has charged Yih-Shyan Liaw, Ruei-Tsang Chang, and Ting-Wei Sun, associated with AI server manufacturer Super Micro Computers. With charges of violating export law, the three are in an indictment unsealed in federal court in Manhattan. The charge alleges that the trio was in a complex plan to send US-made servers to other countries in Southeast Asia with the help of Taiwan. There, these servers were substituted into unmarked boxes and sent onward to China.
Yih-Shyan Liaw, one of the founders of Super Micro in 1993, joined its board of directors in 2023. Ruei-Tsang Chang managed sales in the Taiwan office of Super Micro, while Ting-Wei Sun worked as a contractor for the company. As per the latest update, Liaw and Sun were arrested, but Chang remained a fugitive.
The charge by the DOJ, however, did not mention any names or names of chips that were involved in the alleged scheme. According to reports by Reuters, they are alleged to be Nvidia AI chips. In the report, Nvidia said that “strict compliance” with export laws is among its highest priorities.
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“We continue to work closely with our customers and the government on compliance programs as export regulations have expanded,” an Nvidia spokesperson told the agency, adding, “Unlawful diversion of controlled U.S. computers to China is a losing proposition across the board-NVIDIA does not provide any service or support for such systems, and the enforcement mechanisms are rigorous and effective.”
Attorney for the Southern District of New York, Jay Clayton; Assistant Director of the Counterintelligence and Espionage…
