Investing.com -- The United States is advancing regulations to tighten the sale of advanced artificial intelligence (AI) chips in some parts of the world, particularly to impede China's ability to procure them, the Wall Street Journal reported on Friday.
These rules are specifically designed to restrict China's access to high-end AI technology, but they could potentially create conflicts between the U.S. and other nations that may not prefer having their chip purchases closely overseen by Washington, the Journal reported.
The Biden administration has been implementing measures since October 2022 to limit the flow of state-of-the-art chips and related technology to China, with updates to these measures occurring this month.
The impending restrictions are expected to be enacted weeks before Donald Trump assumes the presidency. They aim to establish shipment caps on AI chips to certain regions, especially for use in large data centers, according to the report, citing people familiar with the matter.
Under the plan, a two-tier system is proposed where close U.S. allies would face no restrictions, while other nations would encounter limitations on the number of AI chips permissible for their data centers.
In addition to these measures, U.S. officials are exploring further restrictions, such as export controls on the weights that power sophisticated AI models and additional China-specific limitations on chip production.
Notices regarding some of the restrictions have been issued to major chip manufacturers, including Taiwan Semiconductor Manufacturing and Samsung Electronics (KS:005930), the Journal reported.
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