The US let Nvidia sell chips to an empty office in China

The US Commerce Department has allowed Nvidia to sell H200 AI chips to New Matrix, a Chinese firm listed on its approved…

By Vane November 7, 2026 1 min read
The US let Nvidia sell chips to an empty office in China

The US Commerce Department has allowed Nvidia to sell H200 AI chips to New Matrix, a Chinese firm listed on its approved vendor roster. However, reports indicate the company operates from an empty office building in Beijing where lights are missing and wires hang from the ceiling. Investigations found almost no online information regarding New Matrix, which was only established seventeen months ago, despite the company listing a physical address for the transaction.

This situation highlights a potential gap between export control regulations and on-the-ground verification of end-users in China. While the US government maintains strict lists of prohibited entities, the approval of firms with negligible physical presence suggests that vetting processes may not be fully effective at preventing sensitive technology from reaching unintended recipients. The case raises questions about whether current compliance measures are sufficient to stop advanced computing hardware from being diverted or used without legitimate operational backing.

  • New Matrix was created seventeen months ago.
  • The firm’s listed office in Beijing contains no staff or equipment.
  • Online records offer scant information about the company.
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