Nvidia's China Problem [pdf] | Hacker News Reader

Nvidia's China Problem [pdf]

culperresearch.com

35 pointsErikun9 comments

According to these allegations (May):

1. 20% of Nvidia's FY2026 compute revenue was ultimately driven by Chinese demand through intermediaries and alleged illegal diversion.

2. This was driven by Alice Huang (the spy)

3. Crucially this report has allegations that Jensen KNEW that these chips were being sold illegally, and that he even went on-site to these sites ALONGSIDE ALIBABA representatives.

Nvidia is down 5.7% this morning (probably on this news), but is trading at a P/E of 23x still -- my mental math if it's expecting to lose 20% of its revenue AND a CEO that it has more to fall.

OMFG, it's an open secret that lots of Malaysia-, Indonesia-, and Singapore-registered businesses resell GPUs to China instead of building AI datacenters themselves. And they don't need to sleep with NVIDIA's CEO to do that, you know.

Well now that it's documented in writing, that business will have to be shut down (-20% revenue), somebody will have to be blamed for it (fired, arrested?), and who knows how big the fines will be.

Right. There are tons of companies (shell or otherwise) all over South-East Asia which feed China with what they need, sanctions or no sanctions.

Hence there is no way the US did not know of this.

My conspiracy theory is that the US used this to pump "poisoned" Nvidia chips (with hardware trojans via fab masks) into Chinese datacenters. Maybe the Chinese found out (they stopped buying) and hence this was framed publicly with/without the consent of the parties involved (who may not know they were just pawns) as "CEO honeytrapped by beautiful spy" which is a nice salacious piece of popular news.

PS: Michael Barr wrote a sci-fi novel "Metacompiler" which has something about hardware trojans - https://metacompiler.me/

I hope it's all true and China has been getting top tier GPUs all this time. Even better if they reverse engineered them to make their own. If we in Europe can't beat America they can do it for us.

> Finally, per one current Megaspeed employee, Jensen visits Megaspeed-linked data centers “every few months” and “every single time” he visits, he is accompanied by representatives from Alibaba.

Will time tell,is Huang actually a traitor ?

What happened to all that free trade talk?

I doubt anybody would defend him on the merit of his good character...

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