* Two universities with links to PLA bought Super Micro
equipment with Nvidia ( NVDA ) chips
* Three people linked to Super Micro charged last week
with smuggling AI tech to China
* US senators have called for pause of exports of Nvidia
AI chips to China and intermediaries in Southeast Asia
By Eduardo Baptista
BEIJING, March 27 (Reuters) - Four Chinese universities,
including two linked to the People's Liberation Army, bought
Super Micro Computer ( SMCI ) servers with restricted AI chips
over the past year, procurement data shows, even as the U.S.
clamps down on sales of some advanced processors to China.
It was not clear how the servers were sourced.
Concerned about the potential for artificial intelligence
chips to enhance China's military capabilities, the U.S. from
2022 began banning the sale of some Nvidia ( NVDA ) chips such
as the A100 to China.
San Jose, California-headquartered Super Micro hit the
headlines last week when three people associated with the
company, including its co-founder, were charged with helping
smuggle at least $2.5 billion of U.S. AI technology to China.
The company was not named in the indictment and says it was
the victim of an elaborate scheme by the individuals.
Chinese universities have previously acquired restricted
chips in servers made by Super Micro and other manufacturers,
Reuters reporting from 2024 shows. But the continued practice,
particularly by institutions with links to the PLA, is likely to
stoke concerns of some U.S. lawmakers.
On Monday, two U.S. senators, citing the indictments of the
three people linked to Super Micro, urged U.S. Commerce
Secretary Howard Lutnick to consider pausing all export licenses
allowing advanced Nvidia AI chips and server systems to be sent
to China or intermediaries in Southeast Asia.
In addition to the universities that bought the Super Micro
servers, two others - including one linked to the military -
sought to make similar purchases, Reuters checks of publicly
available tender documents for 2025 and early this year show. In
those two cases, it was not clear if there was a successful
purchase.
Super Micro declined to comment on the information in the
documents. Nvidia ( NVDA ) said it continues to work closely with
customers and the U.S. government on compliance as export
regulations have expanded.
China's commerce ministry and the U.S. Commerce Department
did not respond to a request for comment.
A HOT-BUTTON ISSUE
Much remains unclear about how many sales of U.S. AI chips
to China will be acceptable to Washington and Beijing.
The Trump administration last year greenlighted the sale of
Nvidia's ( NVDA ) H200 chips - more powerful than currently restricted
products - albeit with a number of conditions that could limit
amounts sold.
For its part, Beijing, keen to bolster Chinese chipmakers,
has discouraged companies from purchasing U.S. AI chips. But
sources said this month that Nvidia ( NVDA ) has won Beijing's approval
to sell the H200. As yet, there have been no confirmed sales.
Critics of such sales worry that they will accelerate
research.
That "may in turn help improve China's weapons design and
testing, military planning and logistics, autonomous weapons
systems, or surveillance," said Jacob Feldgoise, senior data
research analyst at Georgetown University's Center for Security
and Emerging Technology.
Examples of procurement of restricted AI chips include a
document from Beihang University, one of China's "Seven Sons of
National Defense" institutions that plays a key role in
aerospace and defence research and is linked to the PLA.
It said in a March 16 notice this year it had procured a
machine-learning workstation built on a Super Micro system,
configured with four Nvidia A100 chips.
A July notice from Harbin Institute of Technology (HIT),
another one of China's "Seven Sons" that has worked on missile,
satellite, and robotics technologies, shows it procured a Super
Micro system with eight Nvidia A100s.
Beihang University, located in Beijing, and HIT, based in
the northeastern city of Harbin, did not respond to Reuters
requests for comment. Both are on a U.S. export blacklist, which
makes it hard for U.S. companies to secure licenses to supply
them.