08:56 AM EST, 01/31/2025 (MT Newswires) -- (Updates with Nvidia's ( NVDA ) response in the fourth paragraph.)

US officials are investigating whether the Chinese artificial intelligence startup DeepSeek made the unauthorized purchase of Nvidia ( NVDA ) chips in Singapore, Bloomberg reported Friday, citing people familiar with the matter.

White House officials and the Federal Bureau of Investigation are investigating whether Singapore, the city-state which accounts for 20% of Nvidia ( NVDA ) chip sales, was used to circumvent US restrictions on sales of such chips, the report said.

Howard Lutnick, President Donald Trump's nominee as Commerce Secretary, told a Senate committee Wednesday during his confirmation hearing that Nvidia ( NVDA ) chips drive DeepSeek's AI models, the report said.

Nvidia ( NVDA ) told MT Newswires its records indicate no diversion from Singapore to China. "We insist that our partners comply with all applicable laws, and if we receive any information to the contrary, act accordingly," a spokesperson said.

The FBI and DeepSeek did not immediately reply to MT Newswires' requests for comment.

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