Nvidia counsel questioned US probe into Megaspeed chip smuggling

Nvidia's general counsel intervened in a US government probe into suspected AI chip smuggling by Megaspeed International, questioning whether the Trump administration was involved in detaining a Megaspeed executive. The intervention led to restrictions on the Bureau of Industry and Security's investigation. Nvidia's Tim Teter called Commerce Under Secretary Jeffrey Kessler in late summer 2025 to ask about the probe and the Singapore detention of Alice Huang, a Megaspeed executive. Following the call, BIS staff were required to route all Nvidia-related requests through Kessler, a highly unusual step. The Justice Department later requested BIS pause its efforts, and no progress has been made since. Nvidia gave BIS an incomplete account of its business with Megaspeed, undercounting chip sales by 50,000 units worth billions of dollars. Megaspeed denies all diversion allegations, and Nvidia has stopped doing business with the firm while it remains an official Nvidia Cloud Partner.