A Week Before Trump Transition, Biden Team Proposes Sweeping AI Chip Controls

The Biden administration proposed new controls Monday over the export of advanced AI computer chips, affecting technology sales to more than 120 countries worldwide.

The framework establishes unrestricted access for 20 close allies, including Japan, Britain, and major European nations, while limiting exports to countries such as Mexico, Portugal, Israel, and Switzerland.

“It’s critical to preserve America’s leadership in AI,” said Commerce Secretary Gina Raimondo, explaining the framework “is designed to safeguard the most advanced AI technology and ensure that it stays out of the hands of our foreign adversaries while enabling the broad diffusion and sharing of the benefits with partner countries.”

Under the system, most nations could acquire up to 50,000 specialized AI processors annually, with potential increases to 100,000 through government agreements. Select institutions could apply for permission to purchase up to 320,000 advanced chips over two years.

Industry leaders immediately criticized the proposal. The Semiconductor Industry Association warned about “unintended and lasting damage to America’s economy and global competitiveness.” Nvidia’s Vice President of External Affairs Ned Finkle argued the rules would restrict widely available technology, including chips used in gaming PCs, without enhancing national security.

European Union officials objected to restrictions on EU members outside the privileged ally group, which includes Australia, Belgium, Canada, Denmark, Finland, France, Germany, Ireland, Italy, Japan, Netherlands, New Zealand, Norway, South Korea, Spain, Sweden, Taiwan, and the United Kingdom.

Major cloud providers like Microsoft received exemptions for trusted companies. “We’re confident we can comply fully with this rule’s high security standards and meet the technology needs of countries and customers around the world,” said Microsoft President Brad Smith.

“If it’s China and not the United States determining the future of AI on the planet, I think that the stakes of that are just profound,” said National Security Adviser Jake Sullivan, addressing the urgency of the measures.

The proposal includes a 120-day comment period, placing the final decision with the incoming Trump administration. Small orders equivalent to 1,700 processors would remain unrestricted, primarily benefiting universities and medical institutions rather than data centers.


Information for this story was found via Reuters, AP News, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Goliath Resources Hits 10.60 g/t Gold Over 22.82 Metres, Highest Grade Results In Third Distinct Rock Package At Surebet Discovery

Four Countries Control the Fertilizer That Feeds the World | Sage Potash

$10,000 Gold Is Just A Question of Time | Florian Grummes

Recommended

Nord Precious Metals Identifies 29 Veins At Castle East Following 3D Modeling

Emerita Resources Expands El Cura Drill Program By 10,000 Metres As Deposit Remains Open For Expansion

Related News

DigiMax – The Crypto App Is Ready to Launch

Today we have a special episode of The Daily Dive, as we sit down with...

Sunday, February 14, 2021, 11:52:56 AM

Biden To Sell Additional 26 Million Barrels From Reserve, Thanks To Obama

US President Joe Biden’s administration intends to sell more crude oil, with 26 million barrels...

Tuesday, February 14, 2023, 10:47:00 AM

Love ChatGPT? Buy Tesla Says Cathie Wood – Sees Stock Climbing To $1,500 In The Next 5 Years

Ark Invest chief Cathie Wood is putting a lot more faith in Tesla (Nasdaq: TSLA)...

Monday, February 13, 2023, 02:22:00 PM

Reddit Signs $60 Million Per Year Deal For AI Training Data

$60 million per year, so far — that’s how much licensing Reddit’s vast trove of...

Tuesday, February 20, 2024, 07:40:07 AM

OpenAI Announces New ChatGPT Version for Businesses

OpenAI has unveiled its newest offering since the debut of ChatGPT— an enterprise version of...

Tuesday, August 29, 2023, 06:23:00 AM