Semiconductors··1 min readTechnical readSource-backed

US arrests tech CEO accused of smuggling $300M in Nvidia chips into China

United States authorities arrested Earthmade Computer CEO Greg Lui on October 2, 2026, for allegedly smuggling over $300 million in export-controlled Nvidia chips and computer servers into China.

By
GettyImages 1258977050 2 1024x648 1
Ars Technica
WIREUNWIRED BRIEF

United States authorities arrested Earthmade Computer CEO Greg Lui on October 2, 2026, for allegedly smuggling over $300 million in export-controlled Nvidia chips and computer servers into China. The Department of Justice stated that Lui used false paperwork, fake buyer identities, and freight-forwarding firms in Malaysia and Singapore to divert Nvidia A100 and H100 graphics processing units between October 2023 and August 2026.

Investigators uncovered the scheme through emails and bank records, revealing that Lui's firm received more than $176 million in 2024 alone. Lui faces three counts, including conspiracy to violate the Export Control Reform Act, export regulations, smuggling, and money laundering. If convicted, he faces up to 20 years in prison for conspiracy and money laundering counts, and up to 10 years for smuggling.

The arrest highlights ongoing scrutiny regarding compliance gaps at Nvidia, though the company maintains that diverted products represent a tiny fraction of its total sales and defends its customer screening protocols.

STORY JOURNEY

The story so far

Earlier coverage connected by shared names and topics. Follow the dates to see how coverage developed; these links do not imply every article describes the same event.

  1. Physical AI chip developer SiMa.ai hits $1.45B valuation

    Sima AI, a developer of physical AI chips, has secured a $1.45 billion valuation in its latest funding round, according to a TechCrunch…

    Connected by: UnitedEARLIER COVERAGE
  2. Nvidia Launches New Platform to Monitor and Control Autonomous Artificial Intelligence Agents for Enterprises [1.1]

    Nvidia has introduced a new platform designed to monitor and control autonomous artificial intelligence agents, addressing growing enterprise concerns regarding unpredictable or…

    Connected by: ControlEARLIER COVERAGE
  3. GettyImages 2296993009 1024x648 1
    Experts worry about Nvidia's AI chip sales in China and influence over Trump

    China is reportedly considering relaxing regulations to allow major AI firms, including ByteDance and Alibaba, to import millions of banned Nvidia chips…

    Connected by: NvidiaEARLIER COVERAGE
  4. Shield 10 yrs 1 1152x648 1
    Nvidia Raises Price of Shield TV Pro Streaming Device by $100 to $299.99

    Nvidia has raised the price of its Shield TV Pro streaming device by $100, bringing its new retail price to $299.99 effective…

    Connected by: OctoberEARLIER COVERAGE
  5. NOW
    US arrests tech CEO accused of smuggling $300M in Nvidia chips into ChinaCURRENT UPDATE
A WireUnwired summary is already available. You can still write your own brief below for the reader community.
SOURCE & ATTRIBUTION
Ars Technica

Original author: Ashley Belanger

Original publication: 3 October 2026 00:09

Read full story on Ars Technica ↗
RELATED STORIES
Editorial illustration for Nvidia Board Prepares to Oust Jensen Huang Amid Escalating ScandalTechCrunchNvidia Board Prepares to Oust Jensen Huang Amid Escalating ScandalEditorial illustration for Google Unveils Two New TPUs to Cut Nvidia DependenceTechCrunchGoogle Unveils Two New TPUs to Cut Nvidia DependenceEditorial illustration for Jensen Huang’s affair with alleged Chinese spy puts Nvidia’s China ambitions under scrutinyTechCrunchJensen Huang's Alleged Spy Affair Threatens Nvidia's China Strategy
Original sourceArs Technica ↗