The Biden administration revealed the ““which aims to restrict the export of GPUs most desired for AI applications. Although it does not mention the country by name, it is widely seen as a way to prevent China from surpassing US to develop AI.

The rule proposes three levels of licensing. The first level is unrestricted and includes the local market as well as 18 strategic allies. Most countries fall into the second tier, with caps on how much computing power they can import via leading GPUs from the US. The third tier includes China, Russia, Iran and North Korea, and effectively prevents US companies from selling their most powerful GPUs there.

US-based companies are also barred from sharing more details of their AI software models with countries outside the first tier, and must seek approval from the federal government before building large ones. data center at any level in both countries.

Several parties, including the Semiconductor Industry Association (SIA), issued condemned the decision, believing that the restrictions would do more to push countries to work with China. “The new rule risks causing unexpected and lasting damage to America’s economy and global competitiveness in semiconductors and AI by ceding strategic markets to our competitors,” SIA wrote.

NVIDIA also objected, along with Ned Finkle, the Vice President of Government Business, saying that the Biden Administration “seeks to undermine America’s leadership with a 200+ page regulatory morass, drafted in secret and without proper legislative review.”

The rule has a 120-day comment period, so whether it will survive the incoming Trump administration remains an open question.