WASHINGTON (AP) — Biden administration proposes new framework for exporting advanced computer chips used to develop artificial intelligencean attempt to balance national security concerns about technology with the economic interests of producers and other countries.
But the framework proposed Monday also sparked concerns from chip industry executives, who say the rules would limit access to existing chips used for video games and restrict chips used for data centers and AI products. Mexico, Portugal, Israel and Switzerland are among the countries that could have limited access.
Secretary of Commerce Gina Raimondo said on a call with reporters reviewing the framework that it was “critical” to preserve U.S. leadership in AI and the development of AI-related computer chips. Rapidly evolving AI technology is enabling computers to produce novels, achieve breakthroughs in scientific research, automate driving, and enable a host of other transformations that could reshape economies and war.
“As AI becomes more powerful, the risks to our national security become even more intense,” Raimondo said. The framework “is designed to safeguard the most advanced AI technology and ensure it remains out of reach of our foreign adversaries, but also to enable broad dissemination and benefit sharing with partner countries.”
White House national security adviser Jake Sullivan stressed that this framework would ensure that the most advanced aspects of AI would be developed within the United States and with its closest allies, instead of eventually being offshored, such as the battery and renewable energy sectors.
A technology industry group, the Information Technology Industry Council, warned Raimondo in a letter last week that a new rule hastily implemented by the Democratic administration could fragment global supply chains and disadvantage U.S. companies . Another group, the Semiconductor Industry Association, said Monday it was disappointed that the policy was “rushed” before a presidential transition.
“The new rule risks causing unintended and lasting damage to the U.S. economy and global competitiveness in the semiconductor and AI fields by ceding strategic markets to our competitors,” said John Neuffer, Chairman -general director of SIA.
An industry executive, who is familiar with the framework and insisted on anonymity to discuss it, said the proposed restrictions would limit access to chips already used to video gamesdespite government claims to the contrary. The executive said it would also limit the number of companies allowed to build data centers abroad.
Since the framework includes a 120-day comment period, the new republican administration President-elect Donald Trump could ultimately determine the rules governing foreign sales of advanced computer chips. This creates a scenario in which Trump will have to balance economic interests with the need to ensure the security of the United States and its allies.
Government officials said they felt the need to act quickly in hopes of preserving what is seen as America’s six- to 18-month advantage in AI over rivals such as China , a head start that could easily be eroded if competitors were able to stockpile the chips. and make new gains.
Ned Finkle, Nvidia’s vice president of external affairs, said in a statement that the previous Trump administration helped lay the groundwork for AI development and that the proposed framework would harm innovation without achieving the goals of declared national security.
“While disguised as an ‘anti-China’ measure, these rules would do nothing to strengthen U.S. security,” he said. “The new rules would control technology worldwide, including technology already widely available in consumer gaming PCs and consumer hardware.”
Under the framework, about 20 key allies and partners would face no restrictions on access to chips, but other countries would face caps on the chips they could import, according to a fact sheet. information provided by the White House.
Unrestricted allies include Australia, Belgium, Canada, Denmark, Finland, France, Germany, Ireland, Italy, Japan, the Netherlands, New Zealand, Norway, South Korea, Spain, Sweden, Taiwan and the United Kingdom.
Users outside of these close allies could purchase up to 50,000 graphics processing units per country. There would also be government-to-government agreements that could raise the cap to 100,000 if their renewable energy and technological security goals are aligned with those of the United States.
Institutions in some countries could also apply for legal status that would allow them to purchase up to 320,000 advanced graphics processing units over two years. There would, however, be limits to the AI computing capacity that could be placed abroad by companies and other institutions.
Additionally, computer chip orders equivalent to 1,700 advanced graphics processing units would not require an import license or count toward the national chip cap, among other standards set by the framework. The exception for the 1,700 graphics processing units would likely meet orders from universities and medical institutions, as opposed to data centers.
Microsoft set to build new AI-powered data centers around the worldsaid it would be able to comply with the new policy.
“We are confident that we can fully comply with this rule’s high security standards and meet the technology needs of countries and customers around the world who rely on us,” Microsoft President Brad Smith said in a statement Monday. .
