US government considering restricting Nvidia, AMD AI chip exports to Certain Countries – Times of India

The Biden administration is reportedly exploring options to limit the export of advanced artificial intelligence chips from American companies like Nvidia and AMD to specific countries, according to people familiar with the matter cited by Bloomberg News.
The proposed restrictions would primarily target Persian Gulf nations, setting a ceiling on export licences for some countries due to national security concerns.This move could potentially expand the scope of existing limitations initially aimed at curbing China’s AI ambitions.
Bloomberg reports that while discussions are still in early stages, the idea has gained traction among US officials in recent weeks. The deliberations remain fluid, and no final decisions have been made.
This development comes on the heels of a recent Commerce Department rule that could ease AI chip shipments to data centres in the Middle East. The new rule allows data centers to apply for Validated End User status, enabling them to receive chips under a general authorization rather than requiring individual licences.
Last year, the US government extended licensing requirements for advanced chip exports to over 40 countries, including some in the Middle East, citing risks of diversion to China and arms embargo considerations.
The potential new restrictions would further tighten controls on the global distribution of cutting-edge AI technology. Nvidia and AMD, two of the world’s leading AI chip manufacturers, could see their international sales affected if the proposal moves forward.
Neither the US Commerce Department nor Nvidia provided comments on the matter when approached by Reuters. Intel and AMD have not yet responded to requests for comment.