The Biden administration is considering limiting the export of advanced AI chips from Nvidia and AMD to certain countries, including those in the Persian Gulf, in a move aimed at curbing the AI capabilities of specific nations. This proposal comes after the US introduced a framework to regulate the licensing of AI chip shipments to data centers in countries like the UAE and Saudi Arabia. The move would strengthen existing restrictions initially designed to contain China’s AI ambitions.
Chinese research institutes have reportedly acquired high-end artificial intelligence chips from Nvidia despite US restrictions through resellers. These chips were embedded in server products made by Super Micro Computer and Dell Technologies and were purchased between November 2020 and February 2023. The US has banned Nvidia from selling these chips to China, but their sale and purchase are not illegal in China. Nvidia claims that the exports occurred before the restrictions were implemented. The US Commerce Department is monitoring the situation.
Ten Chinese entities have obtained advanced Nvidia chips, despite the US ban on such technology. The chips were integrated into servers manufactured by Super Micro, Dell, and Gigabyte Technology.
