NVIDIA Denies Installing Hidden Tracking Devices Amidst Report of US Officials Tracking AI Chip Shipments

Sure, let’s dive into this. So, NVIDIA, right? They’re this big shot with about 90% of the market in AI accelerators—like, whoa, that’s a lot. But now they’re caught in this weird tango between China and the US. The whole drama is around their H20 AI GPU. China’s eager for these chips, trying to play catch-up in the AI race with the US. Go figure.

Hundreds of thousands of these things are on order in China, yet there’s a catch. Beijing isn’t as thrilled as you’d expect—guess they’re worried about these chips running wild in their backyard. An exclusive piece by Reuters popped up on August 13, and NVIDIA’s on damage control, claiming they’re squeaky clean. Or trying to be.

Now—hold on—switching gears a bit, Reuters tossed a curveball saying trackers have snuck into AI shipments, but NVIDIA’s shrugging like, “Not us, man.” These sneaky trackers, not in the China-bound packages but elsewhere with “a risk of diversion,” whatever that means.

Some insiders are whispering about this covert law enforcement tactic. Funny enough, a few other supply chain folks nodded along, like, yep, that’s happening. These aren’t embedded in the chips, but hiding in the server packaging. Super Micro’s lip-sealed on this, while Dell’s like, “Trackers? What trackers?” NVIDIA’s standing firm too—no trackers here.

Exporting gets tricky when security concerns light up like a neon sign. This news? Bad timing for NVIDIA, who’s just trying to get their H20s into China’s hands amid a cascade of security debates.

Now back to the H20 storyline. They’re helping NVIDIA bounce back after a broader chip ban by the US government that made things sticky. Trump, in fiery Trump flair, labeled these as “obsolete.” Ouch. Yet, despite that burn, exports were halted in April 2025, impacting NVIDIA financially. For three months, money basically went poof.

But then, out comes a blog entry on July 14. NVIDIA’s CEO, Jensen Huang, works out a new chapter with Trump, and voila, sales are green-lighted. With inventory like a mountain (300k extra chips ordered and all), they’re on it.

But Beijing’s not resting easy. They’re like, hold on a minute—is this safe? So in response, NVIDIA’s security guy, David Reber Jr., essentially writes, “No funny business here, folks!”

Amid these tensions, China’s AI companies are getting nudged to avoid these GPUs. Sigh—because NVIDIA insists they’re just doing their thing without any monkey business.

And then, the plot twist: a deal with the Trump administration. A 15% revenue cut to the US government on sales in China from NVIDIA and AMD. Legal or not—it’s a bit like paying a toll on a risky road. There’s buzzing on both sides of this deal, questions like: is it a fair price, or a red herring for bigger concerns?

Lastly—who knows what’s next? NVIDIA’s eager to ship more H20s but with ever-changing winds in US export norms and Chinese import policies, it’s anyone’s ballgame.