The Ministry of Investment, Trade and Industry is investigating the firm following concerns that high-performance chips may be reaching China.
The Ministry of Investment, Trade and Industry (MITI) has intensified a probe into Speedmatrix Sdn Bhd, a subsidiary of Singapore-based Megaspeed International Pte Ltd, according to the Times of India. The investigation, conducted with the Royal Malaysian Customs Department, follows fears that high-performance Nvidia chips are being sent to China through Malaysia to bypass US trade curbs.
Home Minister Saifuddin Nasution Ismail said on Saturday that police opened an investigation paper in April 2025 regarding allegations that Malaysian subsidiaries were used to circumvent US export restrictions on Nvidia AI chips. MITI stated on Friday that it has never cleared Megaspeed or its affiliate Speedmatrix.
The ministry clarified that Speedmatrix is a tenant at data centres in Malaysia and that any verification visits by MITI are part of regular monitoring of the data centre sector. MITI added that such visits should not be interpreted as the company being cleared and called any suggestion to the contrary inaccurate.
The probe comes after Megaspeed claimed that inspections by US and Malaysian officials found no wrongdoing. Industry sources noted that Malaysia's position as a data centre hub could be affected if a rules-based ecosystem is not maintained.
