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The Biden administration plans to curb China’s access to cloud-computing services provided by companies such as Microsoft
MSFT,
and Amazon.com
AMZN,
The Wall Street Journal reported Tuesday.
Citing sources, the report said the new rules meant U.S. companies would likely need government authorization before allowing Chinese customers access to cloud services using advanced AI chips.
The latest volley in the U.S./Sino chip wars comes a week after the newspaper reported that the White House was mulling a ban on the export of AI chips to China. That would make it more difficult for companies such as Nvidia and Advanced Micro Devices
AMD,
to sell advanced chips to any Chinese company working on AI applications.
Nvidia
NVDA,
Chief Financial Officer Collette Kress has said if the U.S. escalates the ban, it will result in a “permanent loss of opportunities” globally.
In October, the Biden administration slapped a ban on China’s imports of high-end chips and in January, it put curbs on the country’s purchase of lithography machines used in the production of high-performance chips.
Beijing announced Monday that it would tighten exports of metals used in the making of advanced chips.
The Commerce Department is due to roll out the new restrictions in the next few weeks, as part of export controls on semiconductors that began last October, the sources said. The Commerce Department declined to comment on that report to the WSJ.
MarketWatch has reached out to Microsoft and Amazon for comment.
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