US sanctions five Chinese entities over ex-Google engineer's AI trade secrets theft
The US State Department has imposed sweeping PAIPA sanctions on five Chinese entities linked to convicted ex-Google engineer Linwei Ding, including his AI firm Shanghai Zhisuan Technology and the venture capital network that funded it.
The United States has imposed sweeping sanctions under the Protecting American Intellectual Property Act (PAIPA) on five Chinese entities connected to former Google software engineer Linwei Ding, convicted of stealing Google’s AI trade secrets. The measures include asset freezes, a ban on transactions with US individuals and entities, and restrictions on financial services and foreign-exchange licences.
The State Department announced the action on Monday, October 19, 2026. The five are Shanghai Zhisuan Technology Co Ltd, Qiji Chuangtan Beijing Investment Management Co Ltd, Beijing Qiji Chuangtan Phase I and Phase II Venture Capital Center Limited Partnerships, and Beijing Qiji Chuangtan Zhiyuan Enterprise Management Center Limited Partnership.
Ding founded Zhisuan in 2023, saying it could replicate Google’s superintelligence infrastructure technology; MiraclePlus, the Beijing venture firm behind the Qiji Chuangtan entities, gave seed funding for a stake. The department said Zhisuan knowingly engaged in or benefited from significant trade-secret theft, MiraclePlus gave financial or other support tied to it, and the other three were designated over ownership and control ties.
“Theft of trade secrets is a serious threat to US economic, foreign policy, and national security interests,” State Department spokesman Tommy Pigott said in a statement.
Ding was convicted by a federal jury on January 29 of seven counts of trade secret theft relating to Google’s TPU and supercomputing code; seven economic-espionage counts were overturned in August, and he was sentenced on September 1 to 12 months minus one day plus about US$198,000 in restitution.
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