A technology company owner from the San Gabriel Valley has been arrested after being indicted by federal authorities on three charges related to the smuggling of high-end computers containing specialized graphics processing units (GPUs) into China. These GPUs, often used in super-intelligence (SI) applications, are subject to strict U.S. export controls. Greg Lui, 38, also known as "Yiu Kong Lui," is the owner of Earthmade Computer Inc., a privately funded technology company based in City of Industry, California. He and his accomplices allegedly used the company to purchase and ship these export-controlled products without the necessary licenses from the U.S. Department of Commerce. According to the indictment filed on September 29, Lui and his associates sent the computers to countries such as Malaysia and Singapore, where export licenses are not required, before illegally re-exporting them to China. The indictment states that Lui was aware that the end users of the servers he was purchasing were located in China, despite providing false documentation to U.S. manufacturers. These documents falsely indicated that the products would be used by authorized entities in countries that did not require export licenses. The scheme reportedly involved more than $176 million in payments from two Malaysian-based transportation companies between January 2024 and October 2024. The incident has raised concerns about the effectiveness of U.S. semiconductor sanctions, particularly in the context of global competition in artificial intelligence (AI) technology. A report suggested that the Chinese startup DeepSeek may have acquired restricted Nvidia Blackwell chips through third-party countries to develop its next-generation AI models. This would have allowed the company to bypass U.S. export restrictions. Nvidia has denied any involvement in the matter, but the case highlights the growing complexity of controlling access to high-performance AI hardware. Since April 2025, the administration of U.S. President Donald Trump has imposed additional restrictions on the export of AI chips to China, aiming to slow China’s progress in AI development. However, some experts argue that these restrictions could inadvertently benefit China by pushing it to develop its own technologies more rapidly. They also suggest that companies like Huawei may emerge as global leaders in AI chip technology. Meanwhile, Trump's tariffs have disrupted supply chains and created uncertainty in global markets, complicating efforts to regulate the flow of advanced technology.