The Biden administration announced a bold and controversial new export control scheme today, designed to prevent the advanced chips and artificial intelligence models themselves from ending up in the hands of adversaries such as China.
The administration’s new “AI Diffusion rule” divides the world into nations that are allowed relatively unfettered access to America’s most advanced AI silicon and algorithms, and those that will require special licenses to access the technology. The rule, which will be enforced by the Commerce Department’s Bureau of Industry and Security, also seeks to restrict the movement of the most powerful AI models for the first time.
“The US leads the world in AI now, both AI development and AI chip design, and it’s critical that we keep it that way,” the US Commerce Secretary Gina Raimondo said ahead of today’s announcement.
The list of trusted nations are the UK, Canada, Australia, Japan, France, Germany, Belgium, Denmark, Finland, Ireland, Italy, the Netherlands, New Zealand, Norway, Republic of Korea, Spain, Sweden and Taiwan.
Companies in other nations not subject to arms controls will be able to obtain up to 1,700 of the latest AI chips without special permission, the rule states. They will be able to apply for a special license to acquire more chips, to build very large scale datacenters using US technology, or to gain access to the most powerful closed model “weights” made by US firms. Companies will be required to have adequate physical and cyber-security to obtain a license.
Supply chain activities, including the design, manufacturing, and storage of chips will be exempt from the rule. The rule also will not restrict open source AI models such as Meta’s Llama, the administration says.
Arms embargoed nations such as China, Iran, and North Korea are already forbidden from obtaining advanced chips. The new rule will for the first time restrict their access to advanced models.
“The semiconductors that power [AI] and the model weights are, as we all know, a dual use technology,” Raimondo added ahead of the announcement. “They’re used in many commercial applications, but also can be used by our adversaries to run nuclear simulations, develop bio weapons and advance their militaries.”
The rule is sure to stoke controversy, however, because it may throttle international sales of AI at a critical moment for the industry. It comes just a week before Trump’s inauguration. The ruling sets a 120 day consultation period, meaning Donald Trump‘s administration will be expected to listen to input, perhaps modify the rule, and then enforce it.
Nvidia, the world’s leading manufacturer of AI chips, called the rule “unprecedented and misguided” in a blog post. “While cloaked in the guise of an ‘anti-China’ measure, these rules would do nothing to enhance US security. Rather than mitigate any threat, the new Biden rules would only weaken America’s global competitiveness, undermining the innovation that has kept the US ahead.”
The US already limits exports of advanced AI chips to China, a key geopolitical rival, but companies there have been able to build cutting algorithms using computer clusters located in other nations. Under the new rule, China will not be able to build so-called frontier AI models in other nations impacted by the rule.
The rule is the latest in an escalating series of export controls aimed at preventing China from harnessing cutting edge AI. The technology is expected to become increasingly crucial for military, intelligence, and industrial applications that could define geopolitical power in the decades to come. The Biden administration introduced new restrictions on the export of chip-manufacturing equipment, certain types of computer memory, and chip design software to China in December in its latest effort to weaken the country’s ability to mint advanced chips.
Biden officials say that they found this rule necessary because AI may advance swiftly and unpredictably in the years to come. “The US has to be prepared for rapid increases in AI capabilities in the coming years, which could have transformative impacts on the economy and on our national security,” said Jake Sullivan, the Biden administration’s National Security Advisor.
The Biden administration also felt justified in setting the rules in its last days because of how rapidly Chinese AI is advancing, according to a senior administration official who asked not to be named. The administration believes China’s AI development is between six and 18 months behind that of the US. “Time is really of the essence,” the official said of the rule. “We believe we’re in a critical window right now.”
Source : Wired
