Tech group urges US to halt rule that would limit global access to AI chips

Tech Group Calls on US to Halt AI Chip Access Limitation Rule

A tech industry group warns that new rules could harm US AI leadership and global market access

Technology

AI Chips, US, Joe Biden, Amazon, Microsoft, Meta, China

Washington: A tech group is sounding the alarm about a new rule that could limit access to AI chips. They’re worried it might hurt the U.S.’s edge in artificial intelligence.

The Information Technology Industry Council, which includes big names like Amazon and Microsoft, is pushing back against this rule. They say it could restrict how U.S. companies sell their tech overseas, giving competitors an advantage.

Last month, there were reports about the Commerce Department’s plans to control AI chip exports. The goal is to prevent bad actors, especially in China, from using these technologies for military purposes.

In a letter to Commerce Secretary Gina Raimondo, ITI’s CEO Jason Oxman expressed concern about rushing this rule out at the end of Biden’s term. He believes it could have serious negative effects.

While the group understands the need for national security, they stress that the risks to U.S. leadership in AI are significant and need careful consideration.

They’re asking for any new controls to be proposed as a draft rule instead of a final one, given the potential global impact.

So far, neither the Commerce Department nor the White House has commented on this issue.

Industry pushback is growing louder. The Semiconductor Industry Association has also voiced concerns, and Oracle’s Ken Glueck criticized the rule as overly broad, saying it could regulate nearly all commercial cloud computing for the first time.

He warned that this draft rule could be one of the most damaging regulations for the U.S. tech industry ever.

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