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Security Firm Discovers 32 NVIDIA B300 GPUs Operating Inside China Telecom, Showing U.S. Export Controls Aren’t Curbing Top-Tier AI Hardware From Getting Out
Brief published October 25, 2026 · Original source published October 23, 2026
Original reporting by Omar Sohail at wccftech.com.
Automated brief. Verify important details at the original source.
What happened
Security firm Lava found 32 NVIDIA Blackwell Ultra B300 GPUs operating inside China Telecom's network, a state-owned carrier. The B300 is NVIDIA's flagship high-performance unit and falls under U.S. export control restrictions targeting advanced AI hardware destined for China. The discovery suggests these chips reached restricted infrastructure despite existing trade controls, though the investigation does not clarify the supply chain path by which the hardware arrived.
Why it matters
Export controls on advanced AI chips are a primary U.S. policy tool for limiting adversary AI capability. A confirmed presence of restricted flagship hardware inside a Chinese state-owned network indicates enforcement gaps that undermine that strategy. Builders and compliance teams relying on export rules as a competitive or security boundary should treat those boundaries as porous until stronger verification mechanisms exist.
What to watch
Whether U.S. authorities respond with enforcement actions or tightened controls following Lava's disclosure, and whether NVIDIA or China Telecom issue any statements addressing how the hardware entered the network.