Nvidia’s China Spy Fallout Deepens: Report Says Moonshot AI Accessed NVDA’s Advanced Chips Despite Export Controls

• Filings with Beijing regulators valued those servers at $64.8 million and said they were located in China, according to Bloomberg.
• The development could intensify scrutiny of the chipmaker as it reels from fallout over its CEO’s affair with a suspected Chinese spy.
• Nvidia stock gained 2% in overnight trading ahead of Tuesday’s session.

China’s top AI startup Moonshot AI accessed Nvidia's most advanced servers this summer, Bloomberg reported on Tuesday, citing documents filed with Beijing regulators – a development that could intensify scrutiny of the chipmaker as it reels from fallout over its CEO’s affair with a suspected Chinese spy.

The firm behind the Kimi K3 AI technology signed a contract in August to rent 32 Super Micro Computer (SMCI) servers equipped with Nvidia’s B300 GPUs, the most powerful AI accelerators on the market, according to the report. 

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The online filings valued the servers at 432 million yuan ($64.8 million) and said they were located in China, indicating a possible breach of U.S. rules that forbid sales to the country without an explicit license.

Moonshot disputed the documents' accuracy. After Bloomberg contacted the company for comment, the documents no longer referenced Moonshot.

Fallout Deepens

The report comes close to the heels of Nvidia CEO Jensen Huang admitting to having an affair with a person U.S. authorities suspect to be a Chinese spy. The admission has created a financial shock, with analysts panicking that Huang, a key force behind the AI boom, might lose his CEO title.

On Monday, a law firm filed a class action lawsuit against Nvidia and Huang for misleading investors, and Delaware senator Chris Coons called for a congressional investigation on national security grounds.

NVDA shares were up 2% in the overnight session after a sharp slide on Monday, while Intel (INTC) and Advanced Micro Devices (AMD) were down 0.8% and 0.4%, respectively.

Nvidia management is expected to face a barrage of questions about the controversy at its earnings report on Nov. 17.

Deepwater Asset Management’s managing partner Gene Munster said China’s alleged targeting of Nvidia's CEO is a greater risk than meets the eye. “The fact that China targeted Jensen underscores the geopolitical significance of AI leadership. That means both Democrats and Republicans will need to build lots of data centers,” Munster said in an X post.

Retail Sentiment For NVDA

On Stocktwits, the retail sentiment for NVDA inched up multiple points in the ‘extremely bullish’ zone amid ‘extremely high’ message volume. “$NVDA  just some noise. Cheap stock,” a trader posted.

At least 57% of the traders who voted in an ongoing Stocktwits poll said they are buying the dip in NVDA after the company announced the investigation into Huang’s affair. 

Fifteen percent said they were trimming their position, while an equal share said they were waiting for the investigation results before deciding what they thought of the stock.

After Monday’s drop, Nvidia shares slid into the red for 2026 and are down 4%.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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