US Probes Nvidia’s Biggest Chip Buyer in Southeast Asia for Smuggling

Megaspeed, a once-obscure spinoff of a Chinese gaming enterprise, has evolved into the single largest Southeast Asian buyer of Nvidia chips, lifting hopes for a regional champion in the lucrative business of AI cloud computing.

But inconsistencies in Megaspeed’s Southeast Asia chip inventory and overall data center footprint have caught the attention of US authorities, who are investigating the ownership structure of the Singapore-based company and whether it’s smuggled Nvidia chips to China, which would be a major breach of curbs imposed to limit that nation's AI and military prowess, according to people familiar with the matter.