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Nvidia builds location verification tech that could help fight chip smuggling: Report

Nvidia's new software monitors AI GPU health and estimates location to prevent use in restricted countries, addressing smuggling worth over $160 million, sources say.

  • On Wednesday, Reuters reported NVIDIA Corporation built location verification technology to identify chip locations, offered as an optional software update demonstrated privately but not yet released.
  • Amid export-control pressure, U.S. lawmakers raised concerns over Nvidia AI chips smuggled to China, which earlier this year restricted imports and promoted Huawei and Cambricon Technologies Corp Ltd.
  • Chinese regulators have questioned whether location verification could create backdoors in Nvidia chips, while Jensen Huang, Chief Executive Officer of NVIDIA Corporation, has denied any backdoors.
  • Wednesday's report followed U.S. President Donald Trump’s announcement permitting Nvidia to sell the H200 chip in China, aiming to assuage U.S. lawmakers' export-control concerns.
  • Deployment could help enforce export controls and reduce chip smuggling, affecting Chinese AI developers' access to advanced processors and shifting regulatory trust as Beijing weighs security concerns.
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Exclusive: Nvidia builds location verification tech that could help fight chip smuggling

Nvidia has built location verification technology that could indicate which country its chips are operating in, according to sources familiar with the matter, a move that could help prevent its artificial intelligence chips from being smuggled into countries where their export is banned.

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TRT World broke the news in Istanbul, Türkiye on Wednesday, December 10, 2025.
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