Not just Huida? US investigates whether Huang Le helped smuggle Supermicro products

The U.S. Department of Justice is rumored to be investigating whether former Megaspeed executive Huang Le helped smuggle Supermicro products into China. (Reuters photo)

[Financial Channel/Comprehensive Report] The U.S. Department of Justice is investigating whether entities related to former Megaspeed executive Huang Le were involved in smuggling Super Micro Computer products into China, people familiar with the matter said.

"Bloomberg" reported that people familiar with the matter pointed out that the investigation was led by the U.S. Attorney's Office. It is still unclear whether the investigation of Huang Le is directly related to any chip smuggling cases that have been filed by U.S. or Asian prosecutors. The U.S. Department of Justice has led an investigation into Huang Le's former company Megaspeed, suspecting that the company was involved in smuggling semiconductors. Megaspeed has always denied any wrongdoing.

Of all the cases that have been prosecuted, the most high-profile is that of Supermicro co-founder Yih-Shyan Liaw. In March this year, federal prosecutors in Manhattan accused them of conspiring with two other suspects to ship servers equipped with Huida chips to an unnamed Southeast Asian company and then transfer them to Chinese customers. Supermicro was not named as a defendant and said it was cooperating with the investigation. Liao Yixian denied all accusations and has now left the company.

In response to the report, Supermicro declined to comment on the prosecutors' investigation into Huang Le. Supermicro stated in a statement that the company has been actively responding to inquiries and fully cooperating with officials in the United States and Taiwan. It has also proactively provided information and cooperated with all requests from the Singaporean authorities. Megaspeed is not and has never been a Supermicro customer. Supermicro has a complete legal compliance system and will continue to work closely with relevant departments and industry partners to combat illegal transshipment of goods and protect U.S. innovations.

Spokespersons for the U.S. Department of Justice and the U.S. Attorney's Office in Manhattan also declined to comment. It is unclear what role Huang Le or entities associated with him may have played in smuggling Supermicro products into China. The Justice Department investigation could also end without indictments.

The investigation by U.S. prosecutors suggests new variables may be added to the rapidly spreading scandal that has engulfed the booming AI industry. The Justice Department is conducting an espionage investigation that includes an investigation into Huang's relationship with Jen-Hsun Huang, people familiar with the matter said. U.S. Attorney General Todd Blanche said on Thursday that no conclusion has yet been reached on whether Huang Le is a Chinese spy.

Bloomberg reported that the unnamed Southeast Asian company mentioned in the indictment in March this year was Bangkok-based OBON. However, according to U.S. prosecutors, two unidentified third-party intermediaries were involved in transferring servers to China.