Chinese companies have reportedly smuggled approximately $1 billion worth of NVIDIA AI chips into the country over the past three months, despite tightening export controls from the United States. Some firms are openly discussing future availability of these chips, indicating a potential challenge for regulators trying to curb unauthorized imports.

Two individuals have been arrested for attempting to smuggle AI chips from the U.S. to China, which raises concerns about national security and technology export regulations. Meanwhile, Nvidia has reiterated its stance against implementing kill switches for its products, emphasizing the importance of maintaining technological access.