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AI chip smugglers exploit trade control loophole to bring banned HBM from South Korea into China — expensive memory chips packaged with cheap, unsanctioned processors to become legal exports
Customs authorities only check the performance specifications of a server's processors, allowing smugglers to attach high-end memory chips to low-end processors and ship them into China. A memory smuggler has detailed how he gets export-controlled HBM chips from South Korea into China using a loophole. According to The Information, the smuggler owns a chip design firm that build cheap, low-performing processors that fall under the U.S. and South …
