According to sources, Washington is taking steps to limit China’s access to cloud computing services in the United States. The proposed rule is expected to require US cloud service providers, including Amazon and Microsoft, to obtain government permission before offering cloud computing services that utilize advanced artificial intelligence (AI) chips to Chinese companies. The aim of this regulation is to close a loophole that currently allows Chinese AI firms to bypass existing chip export control rules.
Cloud services provide users with powerful computing capabilities without the need to purchase advanced equipment, such as chips, that are subject to export controls. The restriction, which is set to be introduced by the US Department of Commerce in the coming weeks, is part of the ongoing dispute between Washington and Beijing over semiconductors and other advanced technologies.
In October, the US administration implemented a comprehensive set of export controls that included measures to cut off China from certain semiconductor chips produced worldwide with US equipment. China has criticized the US as a “tech hegemony” and a “major security risk.”
To retaliate, China recently announced restrictions on the export of two crucial metals used in the manufacturing of computer chips, namely gallium and germanium. Starting from July, special licenses will be required to export these metals, with China being the largest producer globally. These measures have been taken by China to protect its national security and interests.
It is important to note that the United States is home to some of the world’s leading semiconductor chip manufacturers, such as Intel and Nvidia. The ongoing trade war between the US and China in the semiconductor industry highlights the growing tensions and competition in advanced technology sectors.
The restriction on cloud computing services is another step in the US government’s efforts to counter China’s technological advancements and mitigate national security risks. By limiting China’s access to US cloud services that utilize advanced AI chips, Washington aims to protect sensitive technologies and prevent potential misuse or unauthorized access by China’s AI firms.
The exact implications and potential impact of this restriction on US cloud service providers and Chinese companies are yet to be fully understood. However, it is expected to have significant implications for the cloud computing market in both countries and may further escalate the ongoing technological competition between the US and China.
In conclusion, Washington is reportedly preparing to impose restrictions on China’s access to US cloud computing services. This move is intended to address concerns about China’s bypassing of chip export control rules and to safeguard sensitive technologies. As tensions continue to rise between the US and China in the field of advanced technologies, these restrictions on cloud computing services are likely to have far-reaching implications for both countries’ technology sectors.
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