WASHINGTON (Reuters) – Nvidia criticized a new effort by the Biden administration to tighten control over artificial intelligence chip flows globally, expressing concerns that the regulation could jeopardize U.S. leadership in AI.
The new rule, expected to be released imminently, has drawn criticism from Nvidia’s Vice President of Government Affairs, Ned Finkle, who stated that it “threatens to derail innovation and economic growth worldwide” and could “undermine America’s leadership” in the AI sector.
Recent reporting by Reuters revealed the U.S. Commerce Department’s plan to regulate global AI chip exports to prevent unauthorized entities, particularly with the intention of limiting China’s military capabilities. Finkle argued that the proposed rule may impede America’s leading position in AI by imposing bureaucratic restrictions on the design and global marketing of semiconductors, computers, systems, and software.
Based in Santa Clara, California, Nvidia further contended that the rule would not enhance U.S. national security but rather control technology already widely available in gaming and consumer hardware. Finkle emphasized that instead of mitigating threats, the new regulations under the Biden administration could weaken America’s global competitiveness and hinder the innovation that has historically propelled the U.S. ahead in the AI race.
The company’s stance underscores the complex interplay between technological advancement, national security concerns, and economic competitiveness in the evolving landscape of AI regulation.
(Reporting by Chris Sanders in Washington and Karen Freifeld in New York; Editing by Jamie Freed)
