The US Department of Commerce (DOC) has scrapped the contentious "AI Diffusion Rule," just a day before its compliance deadline of May 15. This rule, introduced by the Biden administration, aimed to tightly control the export of advanced American tech, including AI chips and cloud computing access, to countries around the world. The DOC cited concerns that the rule would stifle innovation, burden tech firms with unnecessary regulatory requirements, and potentially harm relationships with allied nations.
The scrapped rule would have categorized countries into three tiers, with varying levels of access to advanced AI technologies. Tier 1 nations, like Japan and South Korea, would have faced minimal restrictions, while Tier 3 countries, including China and Russia, would have been subject to stringent controls. The rule would have also imposed caps on the quantity of high-performance AI chips that could be exported to certain countries.
In place of the AI Diffusion Rule, the DOC has introduced stricter measures to control AI chip exports. The use of Huawei Ascend chips is now prohibited under US export controls, targeting China's AI hardware capabilities. There's also a stern warning about the consequences of using US AI chips to train or run Chinese AI models, highlighting concerns about potential national security risks.
US firms are advised to secure their supply chains to prevent controlled tech from being diverted to unauthorized destinations or users. These new measures reflect the US government's ongoing efforts to protect its technological edge while preventing potential adversaries from accessing advanced AI capabilities.
The decision to scrap the AI Diffusion Rule and introduce new export controls highlights the complexities and challenges of regulating AI technologies in a rapidly evolving global landscape.