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Lawmaker Proposes Legislation Aimed at Curbing Illegitimate Export of Nvidia Chips to China

Lawmaker to Propose Legislation Verifying Destinations of AI Chips, Primarily Nvidia's, Post-Sale. Bipartisan backing seeks to combat reported large-scale smuggling of Nvidia's products.

Lawmaker plans imminent bill to track post-sale locations of AI chips, like Nvidia's, through...
Lawmaker plans imminent bill to track post-sale locations of AI chips, like Nvidia's, through verification. Bipartisan congressional support backs this initiative to monitor chips, amid allegations of widespread smuggling of Nvidia products.

Lawmaker Proposes Legislation Aimed at Curbing Illegitimate Export of Nvidia Chips to China

In the coming weeks, a U.S. lawmaker is set to propose legislation to monitor the location of high-performance AI chips, particularly those manufactured byNvidia, following concerns over widespread smuggling to China. This legislative move aims to address reports of illegal exports, as both President Trump and President Biden have tightened restrictions on these chips' sale to China.

The proposed bill, spearheaded by Representative Bill Foster (D-IL), a former particle physicist, would require the U.S. Department of Commerce to establish regulations forcing AI chip manufacturers to build location-tracking technology into their products.

This tracking technology already exists to some extent, as companies like Google currently use it for security purposes within their own data centers. The bill would give the Department of Commerce six months to create regulations mandating the widespread implementation of such technology in AI chips.

By tracking the chips’ location, the U.S. would be better equipped to enforce export control laws and prevent unauthorized use. Expert opinions, including those voiced by Foster himself, suggest that large-scale chip smuggling has already occurred.

Foster's proposal is supported by Representative Raja Krishnamoorthi (D-IL) and Rep. John Moolenaar (R-MI), among others. The bipartisan support reflects the growing concern over this issue and the urgency to strengthen export control measures.

While the location-tracking feature would be a significant step forward, Foster's second proposal would aim for a more technologically complex solution: preventing AI chips from booting up if not properly licensed under U.S. export controls. This idea is currently under discussion, with plans to engage directly with chip and module providers for further insights into implementation.

  1. Representative Bill Foster, a U.S. lawmaker, intends to propose legislation that targets high-performance AI chips, especially those manufactured by Nvidia, due to concerns about widespread smuggling to China.
  2. This legislation aims to establish regulations that force AI chip manufacturers to integrate location-tracking technology into their products, as advocated by Foster, a former particle physicist.
  3. Google, a tech company, already utilizes similar location-tracking technology for security purposes within its data centers.
  4. The U.S. Department of Commerce would be given six months to create regulations mandating the widespread implementation of such technology in AI chips to ensure better enforcement of export control laws.
  5. Foster's proposal has garnered bipartisan support, with representatives like Raja Krishnamoorthi and John Moolenaar voicing their agreement.
  6. Expert opinions suggest that large-scale chip smuggling has already taken place, reinforcing the urgency for stronger export control measures.
  7. Foster is also considering a more advanced solution for his second proposal, which would prevent AI chips from boots up if they are not properly licensed under U.S. export controls. This idea is currently under discussion, with plans to engage directly with chip and module providers for further insights into implementation.

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