Singapore probes Dell and Super Micro Computer for alleged Nvidia chip export violations
Singapore is investigating Dell and Super Micro Computer for potentially violating US export restrictions by shipping servers containing Nvidia Blackwell AI chips from Singapore to Malaysia, with concerns that the chips may have been diverted to China. The probe followed Wall Street Journal reports that Nvidia's advanced chips were reaching China through third-party resellers in violation of export controls.
What happened
The Wall Street Journal reported on March 2, 2025 that Nvidia's Blackwell chips were reaching China through third-party resellers using entities registered in nearby regions in violation of export controls.
Singapore authorities are probing Nvidia's customers Dell and Super Micro Computer for potentially violating US export restrictions in shipping servers containing Nvidia Blackwell GPUs from Singapore to Malaysia, with investigations into whether servers then made their way to other countries.
Reported impact
Nvidia shares fell 8.7% on March 3, 2025 to their lowest closing price since September 2024, with the stock trading at approximately $114 compared to a 2025 low of $117 in early February.
Dell stock fell nearly 7% and Super Micro Computer shares dropped 13% following the announcement of the Singapore probe.
Index analysis
Malaysia is reportedly a throughpoint for chip smuggling to China, suggesting the servers may have been diverted to unauthorized destinations.
Governance controls
An Nvidia spokesperson stated: 'Anonymous traders cannot acquire, deliver, install, use, and maintain Blackwell products in unauthorized countries' and that the company would 'continue to investigate every report of possible diversion and take appropriate action.'
Analysts noted concerns that Nvidia may face new restrictions on sales to China and questioned whether the company could avoid accountability for resellers selling chips into restricted regions.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.