Jensen Huang Slammed a $2.5 Billion Chip-Smuggling Scheme at Nvidia's Stockholder Meeting
One scheme won't stop the huge momentum Nvidia has picked up over the past few years.
Overview
Nvidia (NASDAQ: NVDA) has solidified its position as one of the most important companies in the tech world, as the undisputed leader in artificial intelligence (AI)-related hardware. The company started as a graphics card maker for video games, but its graphics processing units (GPUs) and other advanced AI chips have since become the hardware foundation for the current AI boom.
Unfortunately, there has been a $2.5 billion chip-smuggling scheme on the black market, and Nvidia CEO Jensen Huang isn't a fan of what's happening. During Nvidia's shareholder meeting, Huang took a strong stance on the scheme, calling it a "dead end."
Details
This scheme involves smuggling Nvidia chips into markets like China -- where Nvidia has strict import restrictions and controls -- using methods that circumvent audits intended to verify legitimacy. Despite the issue, there are larger implications that should be encouraging to Nvidia investors.
Source
Originally published at www.fool.com.