U.S. Treasury Secretary Questions Nvidia's Oversight on Restricted AI GPU Sales

U.S. Treasury Secretary Scott Bessent has raised concerns about whether Nvidia knowingly sold restricted artificial intelligence graphics processing units to pass-through shell companies. While admitting that current export controls cannot entirely stop restricted hardware from reaching destinations like China, Bessent stressed that the chipmaker itself bears responsibility for monitoring its clientele and ensuring no leakage occurs. Bessent criticized Nvidia's internal controls and general counsel Timothy Teter, though he noted it remains unclear whether CEO Jensen Huang had personal knowledge of any illicit transactions. Despite these issues, the Treasury Secretary expressed confidence that Nvidia's board of directors would carry out a thorough investigation into the matter without requiring additional government powers or stricter trade rules.