The U.S. Department of Justice has charged ALX Solutions, a company founded by Chinese nationals Chuan Geng and Shiwei Yang, with illegally exporting Nvidia artificial intelligence chips to China. The indictment states that products worth tens of millions of dollars, including Nvidia’s high-end H100 chips, were shipped to China without export licenses.
ALX Solutions was established in 2022, during the period when the U.S. government began imposing strict technology export controls on China. According to allegations, between October 2022 and July 2025, the company exported AI chips to China without obtaining the necessary export licenses from the U.S. Department of Commerce.
Official records indicate that between August 2023 and July 2024, ALX Solutions purchased over 200 Nvidia H100 chips from San Jose-based server manufacturer Super Micro Computer. The order documents declared that the chips would be shipped to customers in Singapore and Japan.
However, sworn testimonies reveal that more than 20 shipments made on behalf of ALX Solutions were actually sent to freight companies located in Singapore and Malaysia. These countries are known popular transit points for illicit goods being routed to China, and the shipments never reached their stated destinations.
Additionally, it is reported that in January 2024, a China-based company made a payment of 1 million USD to ALX Solutions.
The U.S. Department of Justice stated that Chuan Geng and Shiwei Yang were brought before a federal court in Los Angeles. Geng, who holds permanent residency, was released on a $250,000 bail. Yang, whose visa had expired, will remain in custody and is scheduled to appear in court on August 12, 2025.
In response to the case, Nvidia released a statement saying:
"This legal action clearly demonstrates that smuggling is never an acceptable option."
The company emphasized that its products are sold only to trusted partners and that all sales comply with export regulations. Nvidia also noted that products obtained through illegal means will not receive technical support, service, or updates.
