Home PC & LaptopHardware US Commerce Secretary Says Any AI Chips Designed To Circumvent Restrictions On China Will Be Banned The Very Next Day

US Commerce Secretary Says Any AI Chips Designed To Circumvent Restrictions On China Will Be Banned The Very Next Day

by Contributor

US Commerce Secretary believes they need to adopt “more strict” implementations to thwart AI chips sales & semiconductor development in China.

The US Government Will Do Everything to Restrict Cutting-Edge AI Chips & Technology Access to China

At the Reagan National Defense Forum, US Commerce Secretary Gina Raimondo claimed that her department needed higher financial resources to restrict China’s “rapidly growing” semiconductor markets, vowing to deny the hostile nation with “cutting-edge” technology. The official believes that her department is limited by a lack of financing from Congress, which is why they haven’t seen harsher impacts on Chinese markets.

We cannot let China get these chips. Period. We’re going to deny them our most cutting-edge technology. I have a $200 million budget. That’s like the cost of a few fighter jets.

Come on, If we’re serious, let’s go fund this operation like it needs to be funded.

–  US Commerce Secretary Gina Raimondo

Apart from government financing, Raimondo has also questioned the approach of American companies, when it comes to prioritizing US national security over the company’s business. She says that while firms like NVIDIA and Intel could witness a drop in revenue, they should pick out a side. The statement by the official means that the US Government has put everything behind,  and is now moving towards doing everything it can to, restrict the progression of Chinese markets, and counter their growing influence.

I know there are CEOs of chip companies in this audience who were a little cranky with me when I did that because you’re losing revenue. Such is life. Protecting our national security matters more than short-term revenue.

–  US Commerce Secretary Gina Raimondo

Another interesting statement made by the Commerce Secretary was how she sees NVIDIA’s approach of offering cut-down solutions to China, as a workaround to the US sanctions. Raimondo says that her department will go to extents to reduce the impact of NVIDIA on Chinese markets, by further imposing restrictions to limit the access of China towards cutting-edge equipment completely. This could mean that the upcoming GeForce RTX 4090 D Gaming GPU, along with new cut-down AI chips could witness new set restrictions as well, ultimately preventing their supply as well.

If you redesign a chip around a particular cut line that enables them to do AI, I’m going to control it the very next day.

–  US Commerce Secretary Gina Raimondo

NVIDIA is preparing a range of Hopper & Ada Lovelace accelerators aimed at the Chinese AI market. Image Source: NVIDIA

These AI GPUs and chips have been designed in accordance with US laws and are expected to fall within the 4800 TPP (Total Processing Performance) limit so the commerce secretary making such remarks means that even the US’s own rules and regulations mean little and will continue to change or be modified by the US authorities to restrict China from getting any chip that can be used for AI purposes.

Such statements by US officials mean that the scope of business for tech firms that are dominating in China, such as NVIDIA and AMD, could be limited to a huge extent, ultimately forcing them to pick sides. It will be interesting to see how the future pans out the tech industry, amid the rising US-China hostilities.

News Source: BNN Bloomberg

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