What did The New York Times find at New Matrix's offices?

The Times described the offices as "a hollow gray shell with wires dangling from the ceiling where lights should be," and a company directory at the building did not include the firm.

Why were Nvidia's China sales allowed to resume?

Nvidia had been restricted from selling chips to China during the Biden presidency, but the Trump administration relaxed those limits after Nvidia agreed to give the government a 15-percent cut of all sales.

Its owners have ties to a Chinese private equity firm that has been blacklisted by the US government since 2024, according to the Times.

AI Regulation & PolicyAI Business & IndustryThe Verge AI3m agoNov 8, 2026, 01:00 JST

New Matrix cleared for Nvidia H200 chips despite empty offices

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3 Key Points

What happened
The Commerce Department approved New Matrix, created 17 months ago, to handle Nvidia's H200 AI chips, but The New York Times found its offices empty and no company directory listing.
Why it matters
The Times describes this as part of a pattern of firms with ties to entities under trade restrictions being approved, raising questions about vetting by the Commerce Department and Nvidia.

WHO IT HITSThe approvals directly affect compliance and trade-restriction teams at Nvidia and the Commerce Department, who must vet Chinese buyers of H200 chips. They also matter to supply-chain and export-control officers at other AI chipmakers facing similar licensing decisions.

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Context & Analysis

The approval of New Matrix sits at the intersection of two decisions the body describes: the Trump administration's relaxation of China chip limits and Nvidia's agreement to give the government a 15-percent cut of all sales. Nvidia CEO Jensen Huang also launched an intense lobbying campaign, and he was apparently targeted by China's Ministry of State Security in a spying plot. The Times reporting suggests the vetting process may not be keeping pace with the volume of approvals, since New Matrix left little evidence of operating as a normal business. Whether this represents a one-off lapse or a broader oversight gap is the question the Times raises, but the body does not say whether any review or enforcement action is planned.

FAQ

What did The New York Times find at New Matrix's offices?: The Times described the offices as "a hollow gray shell with wires dangling from the ceiling where lights should be," and a company directory at the building did not include the firm.
Why were Nvidia's China sales allowed to resume?: Nvidia had been restricted from selling chips to China during the Biden presidency, but the Trump administration relaxed those limits after Nvidia agreed to give the government a 15-percent cut of all sales.
Who owns New Matrix?: Its owners have ties to a Chinese private equity firm that has been blacklisted by the US government since 2024, according to the Times.

The Verge AIRead Original Article

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