US considers new chip ban on China

The Biden administration is considering new export restrictions on AI chips to China, according to WSJ sources. Starting next month, the US Commerce Department could ban Nvidia and other domestic chipmakers from selling AI chips to customers in China and other countries of concern without a license.

An Nvidia graphics processing chip. (Photo: Bloomberg)

It would extend the export controls the US announced in October 2022. The move would further hamper China’s ability to build AI capabilities, which have already been cut off from Nvidia and AMD’s most powerful chips.

Nvidia had previously developed a version of its AI chip for the Chinese market called the A800, which performed below the threshold set by the Commerce Department. It replaced the A100, a chip widely used in data centers. Under the new rules, even the A800 chip cannot be sold to Beijing without a license.

According to WSJ, the US government is also considering restricting cloud services for Chinese AI companies.

The timing of deployment is uncertain as chipmakers continue to lobby the government to waive or relax the bans. With the proliferation of generative AI tools like ChatGPT, US officials and policymakers are looking at AI through the lens of national security. AI-powered weapons will give US adversaries an advantage on the battlefield. Meanwhile, AI tools can be exploited to create chemical weapons or write malicious computer software.

Still, protecting critical technology while ensuring minimal impact on US and allied businesses is a major challenge.

In October 2022, the US Commerce Department announced a series of export controls on advanced semiconductors and chipmaking tools, but has not yet issued formal regulations to codify the rules. Since last fall, the administration has been soliciting comments from affected businesses and negotiating with allies to come up with final rules.

The US has persuaded the Netherlands and Japan – two countries with the world’s leading chip-making machinery manufacturers – to join it and agree on a list of controlled items. South Korean and Taiwanese chipmakers will be allowed to continue operating and expanding factories in China, but only for older chips. The Biden administration is also considering an executive order banning US investment in China and its rivals.

(According to WSJ)

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Source: https://vietnamnet.vn/my-can-nhac-lenh-cam-chip-moi-voi-trung-quoc-2159187.html