A new report claims that DeepSeek has illegally obtained and operated "several thousand" Nvidia Blackwell GPUs in the process of training and developing its newest large language model. According to coverage by The Information, six unnamed sources all claim DeepSeek's involvement in a convoluted smuggling ring based around the use of fake data centers as fronts to move high-powered servers into mainland China, illegally circumventing U.S. sanctions on newer AI GPUs.
Sources close to the matter allege that DeepSeek is involved in a high-complexity smuggling ring focused on getting Blackwell chips into China illegally through the use of fake data centers. Shell companies purchase data centers worth of Nvidia servers somewhere in Southeast Asia, setting up the data center and its hardware entirely to spec. Nvidia's OEM partners send contractors to inspect the installation, confirming successful installs and export compliance.
