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Nvidia Develops Chip-Tracking Tech Amid Smuggling Concerns

Nvidia Develops Chip-Tracking Tech Amid Smuggling Concerns

Source:Reuters

Dec 12, 2025 -- Today’s top stories: Nvidia Develops Chip-Tracking Tech Amid Smuggling Concerns, Holiday Gifts Cost 26% More This Year as Tariffs Bite, and China–Europe Freight Train Eastern Corridor Surpasses 5,000 Trips.

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Nvidia Develops Chip-Tracking Tech Amid Smuggling Concerns

By CommonWealth Magazine
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Nvidia builds location verification tech that could help fight chip smuggling

Nvidia has developed location verification technology to track the location of its AI chips, according to anonymous sources cited by Reuters.

The software tracks computing performance, but the delay in communication between servers also offers a sense of a chip’s location.

The software will be optional for customers to use and will be made available for Blackwell chips first. Multiple reports have surfaced in the last few days that allege China’s Deepseek AI models have been using smuggled Nvidia Blackwell chips to develop its upcoming model.

The US has banned the export of Nvidia’s Blackwell chips, which are considered the company’s most advanced offerings, to China in an effort to stay ahead in the AI race.

DeepSeek is reportedly using chips that were smuggled into the country without authorization, according to the information.

Nvidia has not seen any substantiation or received tips of phantom data centres constructed to deceive it and its OEM partners, then deconstructed, smuggled, and reconstructed somewhere else.

The move comes as the AI giant faces pressure to prevent China from smuggling its most powerful gear.

The software is expected to be implemented on Nvidia’s top-of-the-line Blackwell chips, which are subject to strict export controls preventing their sale to China.

Reference Sources

  1. techcrunch - Nvidia is reportedly testing tracking software as chip-smuggling rumors swirl
  2. cnbc - Nvidia refutes report that China's DeepSeek is using its banned Blackwell AI chips
  3. newyorkpost - Nvidia builds AI chip-tracking software amid pressure over China smuggling: report | New York Post
  4. usnews - Exclusive-Nvidia Builds Location Verification Tech That Could Help Fight Chip Smuggling
  5. rappler - Nvidia builds location verification tech that could help fight chip smuggling

Holiday gifts are 26% more expensive this year -- and tariffs are to blame: study | New York Post

A new analysis of an annual gift guide from New York magazine shows that key holiday items this year are 26% more expensive on average than in 2024.

This is due to President Trump's tariffs, according to a report by the nonprofit consumer advocate Groundwork Collaborative.

The study found that on average, shoppers are shelling out 38% more for kitchen goods, 34% more for electronics, 20% more for clothing and shoes, and 17% more for toys.

The list is "representative" of top-selling holiday gifts on Amazon, including items that cost as little as $10 and as much as $500.

The report also found that 41% of shoppers said they are buying fewer gifts this year, and 31% are giving fewer people gifts, with lower-income households, those earning less than $75,000 a year, scaling back their holiday budgets by $100.

Many of the items in the gift guide are getting hit hard by tariffs because they are made abroad.

Microsoft cited tariffs as the reason for raising prices on its Xbox consoles twice this year, including a $70 hike on some consoles.

Sony followed suit, hiking prices on the PlayStation 5 by $50 in response to tariffs. Groundwork Collaborative's study on Instacart this week focused on a controversial algorithm that results in consumers being charged different prices on the same grocery items in the same supermarkets at the same time.

Reference Sources

  1. newyorkpost - Holiday gifts are 26% more expensive this year -- and tariffs are to blame: study | New York Post

China-Europe freight trains’ eastern corridor exceeds 5,000 trips this year, highlighting resilience of China’s foreign trade

The China-Europe railway Express services running via the Eastern corridor have surpassed 5,000 this year, providing strong momentum for supporting China's openness to trade, according to the Xinhua news agency.

The Eastern corridor comprises the Manzhouli, Suifenhe, and Tongjiang railway ports, and now handles more than 1,000 categories of goods, up significantly from when the service began operations.

The number of trips reached 5,166 so far this year, transporting more than 530,000 20-foot equivalent units (TEUs). A 60-car China-Europe cargo train carrying home appliances and digital products departed from the Manzhouli Railway port. The corridor's total number of trips reached 5,166 so far this year, transporting more than 530,000 20-foot equivalent units (TEUs).

China's High-Standard Opening-Up has been a key driver of the country's economic growth, with the country's economic growth boosted by the Covid-19 pandemic. The country's economic growth has also been boosted by the easing of the COVID-19 pandemic, which has led to a surge in demand for goods.

Reference Sources

  1. xinhua - "Eastern corridor" of China-Europe freight train network sets new operation record
  2. xinhua - EconomyInFocus | The "eastern corridor" of China-Europe freight train service hits 5,000 trips
  3. globaltimes - China-Europe freight trains’ eastern corridor exceeds 5,000 trips this year, highlighting resilience of China’s foreign trade
  4. peopleen - The "eastern corridor" of China-Europe freight train service hits 5,000 trips

The CommonWealth English daily news digest is a service curated by CommonWealth English team with the help of AI tools.  


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