US Servers in Singapore Fraud Case May Contain Nvidia Chips, Minister Says
Servers involved in a fraud case recently announced by Singapore were supplied by U.S. firms and may contain advanced Nvidia chips, Singapore’s Home Affairs and Law Minister K Shanmugam said on Monday.
Three men, including a Chinese national, were charged last week in Singapore with fraud linked to these servers. The servers, supplied by Dell Technologies and Super Micro Computer to companies based in Singapore, were then sent to Malaysia, though it is unclear if Malaysia was the final destination.
Shanmugam noted the authorities are investigating the case independently following an anonymous tip-off. Singapore has asked U.S. officials to confirm if the servers contained U.S. export-controlled items and expressed willingness to cooperate in any joint investigation.
This case is part of a broader investigation involving 22 individuals and companies suspected of false representation, amid concerns over organized smuggling of AI chips, particularly to China. The U.S. is probing whether Chinese company DeepSeek used U.S. chips prohibited from export to China. Earlier reports revealed that Chinese research institutions obtained Nvidia’s advanced AI chips embedded in servers made by Dell, Super Micro, and Gigabyte Technology.
Singapore is Nvidia’s second-largest market after the U.S., accounting for 18% of Nvidia’s latest fiscal year revenue, though actual shipments to Singapore represent less than 2% since the country functions largely as an invoicing hub.
Some AI industry figures, like Scale AI CEO Alexandr Wang, allege DeepSeek has as many as 50,000 higher-end Nvidia chips banned for export to China, though these claims remain unverified. DeepSeek stated it legally purchased Nvidia H800 chips in 2023 and disclosed use of Nvidia A100 chips in its supercomputing AI cluster.
Dell stated it enforces strict trade compliance and takes action if customers violate obligations but declined further comment due to the ongoing investigation. Super Micro affirmed compliance with U.S. export controls and said it investigates any unauthorized re-exports. Nvidia declined to comment, and DeepSeek has not responded to requests for comment.