The outlet reviewed data, together with customs filings, that confirmed Nvidia chips have been being bought by Chinese language patrons in an underground market.
One distributor in Beijing instructed the Journal he obtained dozens of chips a month and that “there’s at all times a method” to get them into China.
One other dealer mentioned he acquires chips by way of private contacts at official distribution channels and system integrators in southeast Asia earlier than performing as an middleman for patrons and dealing with the transportation.
One technique the dealer employed was failing to state the chip mannequin numbers on paperwork, in keeping with customs filings seen by the Journal.
Some Chinese language companies even resorted to repurposing Nvidia’s gaming chips so they might energy AI fashions, The Monetary Instances reported earlier this yr.
The demand for Nvidia’s most superior chips is so acute as a result of they’re thought to be essential for coaching AI fashions.
Reuters reported in April that Chinese language universities and analysis institutes, together with the Chinese language Academy of Sciences, obtained Nvidia chips by resellers.
Nvidia doesn’t promote on to China due to the US export ban.
In November, the White Home strengthened US sanctions. The Division of Commerce applied the Superior Computing Chips Rule, which makes it tougher for China to import AI chips from American producers.
Nvidia did not instantly reply to a request for remark from Enterprise Insider, made outdoors regular working hours.