Washington is reportedly contemplating expanding limitations on the export of U.S. semiconductors for AI applications to Chinese companies and their overseas subsidiaries. The move aims to further restrict China’s access to American AI chips and chipmaking tools.
Post Text (Maximum 200 words): The U.S. government is considering an extension of restrictions on the export of U.S. semiconductors used in artificial intelligence (AI) applications to Chinese companies, including their overseas subsidiaries. This development, as reported by Reuters, could signify a significant move in Washington’s ongoing efforts to limit China’s access to American AI chips.
The initial restrictions, introduced in 2022, were designed to impede Beijing’s military advancements by preventing the supply of American AI chips and chipmaking tools to China. However, these restrictions did not cover the overseas subsidiaries of Chinese firms, allowing a potential loophole for chip access.
According to Greg Allen, a director at the Center for Strategic and International Studies, Chinese companies have indeed been acquiring AI chips for data centers located abroad. This move comes in response to China’s increasing dependence on American chips for its AI capabilities.
In an environment where AI-based applications like ChatGPT are gaining popularity, a shortage of AI processors has emerged. OpenAI, the developer behind ChatGPT, is even exploring the creation of its own AI chips to address this shortage.