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US Regulatory Agencies Review Pathways for Chinese AI Companies to Rent Overseas Computing Power to Bypass Chip Bans

Source: www.bloomberg.com Event types: Security/Hacker Regulation/Compliance
According to Bloomberg, sources familiar with the matter revealed that the US government department responsible for investigating chip export control violations is currently systematically reviewing the ways Chinese AI companies obtain advanced Nvidia chips through legal channels, with a particular focus on their practice of renting computing power in third countries. This move stems from recent consecutive technical breakthroughs by Chinese AI companies, indicating that they still possess the capability to acquire and use top-tier hardware under US chip export restrictions on China. Analysts believe that this review may drive the US to further tighten regulatory rules on computing power leasing in third countries to plug loopholes in the current export control system.