Nvidia Chips: The Thai Connection that's Raising Alarms in Washington

Published: 2026-05-08 05:29:02 ET NVDA

A company linked to Thailand's AI ambitions is suspected of facilitating the transfer of Super Micro servers equipped with advanced Nvidia chips to China. According to Bloomberg, OBON Corp. allegedly played a role in a scheme to bypass US restrictions, involving an estimated $2.5bn. Alibaba has been named as one of the end customers, a claim the Chinese group denies.

Thomas Barnet

Published on 05/08/2026 at 05:29 am EDT

The case undermines Bangkok's sovereign AI project. OBON, a Thailand-based firm, participated in the launch of Siam AI, which became Nvidia's first official cloud partner in the country. However, Bloomberg asserts that OBON is the "Company-1" mentioned in a US indictment targeting a scheme to divert Super Micro servers to China. US authorities have not, however, publicly charged OBON or Alibaba.Since 2022, Washington has restricted the export of Nvidia's most advanced chips to China, citing national security concerns. US prosecutors notably accuse a Super Micro co-founder of participating in an arrangement involving a Southeast Asian company and third-party brokers. Some of the servers allegedly ended up at Alibaba, which denies any business relations with the parties involved or any participation in the alleged activities.The case reignites doubts regarding the effectiveness of US controls and the vigilance of the Nvidia ecosystem. It could also revive calls to tighten chip sales to Southeast Asia. Super Micro maintains it has not been charged and states it is cooperating, while Nvidia reiterates that it requires strict compliance from its partners.