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Military-linked Chinese university bought Nvidia H200 chips despite US blacklist

Reuters says Northwestern Polytechnical University bought two of the chips in October through a local supplier.

In brief
  • Reuters reported that Northwestern Polytechnical University, which is on a US export blacklist, bought two Nvidia H200 chips for 874,700 yuan. It also rented access to H200 and other Nvidia chips through five contracts this year, including two January contracts for servers with eight H200 chips each.
  • In our view, the purchase shows resellers can move chips to a blacklisted buyer. Rented compute raises a separate question about how end use is checked.

Reuters reported, in a story The Hindu carried on 12 November, that Northwestern Polytechnical University bought two Nvidia H200 AI chips last month. The Chinese school has close military ties and is on a US export blacklist called the Entity List. Its website shows an October 21 procurement record: 874,700 yuan, about $123,000, paid to Shaanxi Bosuan Network Technology rather than Nvidia. Reuters also said the university rented access to H200 and other Nvidia chips through five contracts this year, including two January contracts for servers with eight H200 chips each.

Nvidia, the university and the US Commerce Department's export office did not reply to Reuters. The records say little about where the chips came from or where the rented servers ran. The January US rules for H200 exports to China require safeguards against remote access by blacklisted entities to chips exported under that policy. Reuters does not say whether they covered these chips.

In our view, the purchase shows a reseller can move hardware to a blacklisted buyer. Renting means paying for access, not owning the chips; one record Reuters cites priced H800 access at 10 yuan per chip-hour. Renters connect remotely, so where a chip sits does not show who uses it. A provider could add an end-use clause and a customer check to its contracts.

A WebPulse Brief: a short report of an important event, written by the WebPulse Newsroom with AI assistance and checked against the reporting below. When there is more to explain, we follow up with a full story. How we use AI.

Reporting: The Hindu.