Reuters with the report, citing four people familiar with the matter

  • The Biden administration is considering closing a loophole that gives Chinese companies access to American artificial intelligence (AI) chips through units located overseas
  • rules are set to be tightened in the coming days

In the initial round of curbs, the Biden administration left overseas subsidiaries of Chinese companies with unfettered access to the same semiconductors, meaning they could easily be smuggled into China or accessed remotely by China-based users.

Washington is now mulling ways to close the loophole

biden chip