Microsoft is urging the Trump administration to relax the current limits on chip exports to China, warning that the existing restrictions could inadvertently give China an advantage in the AI race. The company's concern stems from the fact that the current export controls, imposed to prevent China from accessing advanced AI technology, are also hindering the ability of American tech companies to build and expand AI data centers in countries like Switzerland, Poland, and India.
Microsoft President Brad Smith argues that these restrictions are driving countries to seek AI infrastructure and services from China, which could ultimately undermine US interests. The company is not alone in its concerns, as Nvidia has also spoken out against the rules, stating that they would weaken America's global competitiveness in AI innovation.
The export controls, introduced in 2022, aimed to limit China's access to advanced AI chips and semiconductor manufacturing equipment. However, experts argue that these restrictions have not significantly impacted China's AI capabilities, as the country has been able to develop its own domestic AI accelerators, such as the Ascend 910B.
