SAN DIEGO, Feb. 1, 2024 /PRNewswire/ -- As disclosed in recent public filings, TuSimple is refocusing its business on the APAC market, specifically China, Japan and Australia . To this end, TuSimple engaged Lansdowne Financial, a well-known Australian company that specializes in establishing Australian businesses, which assisted with establishing the company's Australian subsidiary, TuSimple Australia Pty Ltd. Consistent with Australian law, TuSimple appointed an Australian citizen as a director of the subsidiary. No member of TuSimple's management team has any financial interest in Lansdowne Financial.
Beginning in the Fall of 2023, TuSimple commenced setup of operations to begin testing its autonomous driving software in Australia . This effort is led by employees based in the APAC region, including China . To increase operational efficiency and to ensure compliance with local data regulations, the Company has engaged third party vendors to set up a local cloud network, procure IT and server equipment, and recruit a local workforce. GPUs (such as the A100 chips referenced in The Wall Street Journal's article) and other computer chips are assembled in servers, which are used to perform training functions with respect to our autonomous driving system. The events discussed in the article arise from TuSimple's decision to send spare parts owned by its U.S. business for use by its Australia business. These parts are not needed in the United States because TuSimple is winding down its business there. The computer chips referenced in the article are an off-the-shelf product that is available for sale in Australia and the United States . TuSimple placed the chips in the custody of a common carrier on Nov. 28, 2023 . These standard parts manufactured by a third party, and widely available in other parts of the world, contain no technology designed, manufactured or modified by TuSimple, and no trade secrets of TuSimple.
Given that the export control regulations for computer chips are constantly evolving, it is responsible business practice to check where the chips can and cannot be exported to without a U.S. government license. The transfer of the chips at issue was reviewed as part of our established internal compliance procedures and authorized for shipment to Australia . There is no intention by TuSimple to transfer those computer chips to China . Reporting to the contrary is inaccurate.
By shipping this property to Australia, rather than selling it at a discount in the U.S. and buying it at full price in Australia, TuSimple expects to save over $150,000, which is meaningful savings for the Company and its shareholders.
About TuSimple
TuSimple is a global autonomous driving technology company headquartered in San Diego, California, with operations in the United States and Asia . Founded in 2015, TuSimple is developing a commercial-ready, fully autonomous (SAE Level 4) driving solution for long-haul heavy-duty trucks. TuSimple aims to transform the $4 trillion global truck freight industry through the company's leading AI technology, which makes it possible for trucks to see 1,000 meters away, operate nearly continuously, and reduce fuel consumption by 10%+ relative to manually driven trucks. Global achievements include the world's first fully autonomous, 'driver-out' semi-truck run on open public roads in the U.S. and China, and development of the world's first Autonomous Freight Network (AFN). Visit us at www.tusimple.com.
SOURCE TuSimple Holdings, Inc.
