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Nvidia scandal deepens as banned chips traced to China

Via GuruFocus.com

Nvidia scandal deepens as banned chips traced to China Faizan Farooque Fri, November 13, 2026 at 6:26 AM EST 1 min read NVDA +2.41% SMCI +0.44% DELL +0.57% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.

Nvidia Corp. (NVDA, Financials) is facing renewed scrutiny after a report linked restricted AI processors to a Shanghai data center associated with a company previously founded by Alice Huang.

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Reported that they found Nvidia-equipped computers at the Yangtze River Delta Project in Shanghai. Singapore-based Aperia Cloud Services, a former Nvidia Cloud Partner, supplied some equipment.The article says Aperia bought 22 Dell Technologies servers with Nvidia H800 CPUs. The US prohibited semiconductor shipments to China in 2023.Dell discontinued Aperia sales and support in February 2025 due to unlawful diversion.Documents also included 52 Super Micro Computer servers with Nvidia H100 or H200 processors that need U.S. export approval to China.Super Micro claimed the servers were supplied in accordance with export rules and denied selling chips to Shanghai-based enterprises.Shanghai Longteng Intelligent Computing committed 193 servers as collateral for funding in January 2025.Huang started Shanghai Longteng but sold it in 2017. Her sister became majority stockholder.The records did not show how all the servers reached the data center or if Nvidia, Dell, or Super Micro deliberately violated export prohibitions.The results raise semiconductor supply chain worries after Jensen Huang's resignation. Investors will monitor legislative changes and Nvidia's earnings report for business exposure.

Read original at Yahoo Finance News

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