DOJ charges Super Micro executives, co-founder resigns after $2.5B chip smuggling allegations

The U.S. Department of Justice has charged three Super Micro Computer employees, including co-founder Yih-Shyan 'Wally' Liaw, with smuggling approximately $2.5 billion worth of Nvidia GPU-equipped servers to China in violation of export control laws . Prosecutors allege the defendants used a Southeast Asian shell company to disguise the servers' true destination, faking documents and communications to evade SMCI's compliance team. Liaw has since resigned from the company's board effective immediately.

The alleged scheme ran for approximately two years, with about half a billion dollars worth of U.S.-assembled servers shipped to China in a three-week period alone during mid-2025 . In response, Super Micro named DeAnna Luna — a former Intel export licensing executive — as acting chief compliance officer to strengthen its governance framework.

SMCI shares plummeted over 33% following the news, erasing more than $6 billion in market value . The indictment compounds existing credibility concerns for the company, which previously faced an SEC probe and delisting threat in 2024. Investors will be watching whether the governance changes can restore confidence amid intensifying U.S. export controls on AI technology to China.