The Biden administration released its “”, which aims to limit the export of GPUs most in demand for artificial intelligence applications. While it doesn't mention the nation by name, it is broadly seen as a means to stop China from outpacing the US in developing artificial intelligence.
The rule proposes three levels of licensing. The first level is unlimited and includes the domestic market, as well as 18 strategic allies. Most countries will fall into the second tier, where there will be limits on the amount of computing power they can import using the best GPUs from the US. The third tier includes China, Russia, Iran and North Korea and effectively bars US companies from selling their most powerful GPUs there.
US companies would also be prohibited from sharing many details of their artificial intelligence software models with countries outside that first tier, and would have to seek permission from the federal government before building large data centers in any second tier country.
Many parties, including the Semiconductor Industry Association (SIA), have released condemning this decision, believing that the restrictions will more encourage countries to cooperate with China. “The new rule risks causing unintended and lasting harm to the U.S. economy and global competitiveness in semiconductors and artificial intelligence by losing strategic markets to our competitors,” SIA wrote.
NVIDIA also objected, with Ned Finkle, the company's vice president of government affairs, saying the Biden administration “seeks to undermine America's leadership with a 200-plus page regulatory quagmire drafted in secret and without adequate legislative review.”
The rule has a 120-day comment period, so it remains an open question whether it will survive under the new Trump administration.