Nvidia Corp (NASDAQ:NVDA, XETRA:NVD) has denied reports suggesting that Chinese AI startup DeepSeek is using the company’s Blackwell GPUs, which are restricted for sale to China, to train advanced AI models.
The reports, initially published by The Information, claimed that DeepSeek accessed several thousand Blackwell chips through a complex smuggling operation involving “phantom data centers” in Southeast Asia.
These setups were reportedly inspected by Nvidia contractors before being disassembled, transported into China, and reassembled, circumventing US export controls on high-performance AI GPUs.
In response, Nvidia said it has seen no evidence supporting such claims, calling them “farfetched.”
“We haven’t seen any substantiation or received tips of ‘phantom datacenters’ constructed to deceive us and our OEM partners, then deconstructed, smuggled, and reconstructed somewhere else,” the Nvidia spokesperson said. “While such smuggling seems farfetched, we pursue any tip we receive.”
The reports come amid growing global scrutiny of AI chip exports, particularly as US authorities maintain restrictions on high-end GPUs entering China due to national security concerns.
Shares of Nvidia traded down 0.9% at about $183 on Wednesday afternoon, having gained more than 36% so far this year.