Nvidia criticises Google and Amazon-backed AI startup for ‘Chinese smuggling tactics’ claim: ‘American firms should focus on…’

Nvidia has slammed Anthropic for its claims that Chinese smugglers are using ‘bizarre’ methods to sneak advanced chips past export controls. This includes hiding them in “prosthetic baby bumps” and “alongside live lobsters.” The clash comes as the US chip export restrictions, introduced under the previous Biden administration and known as the “AI Diffusion Rule,” are set to take effect on May 15. The rule aims to curb the transfer of cutting-edge AI chips and model weights to countries like China amid rising global AI tensions. In a recent blog post, the AI startup backed by Google and Amazon has urged stricter enforcement of the rules, which prompted Nvidia to push back, warning that American companies should avoid “fear-mongering” and focus on innovation. Meanwhile, US President Donald Trump is also reportedly considering updates to the restrictions.