In a letter to the U.S. Commerce Secretary Howard Lutnick, seven Republican U.S. senators have also urged him to revoke a Biden administration rule that would prohibit AI chip manufacturers’ clients from conducting business with foreigners prior to its implementation next month.
The letter, written by Senators Thom Tillis, Tommy Tuberville, and Pete Ricketts, demands “immediate action” to halt the AI dissemination rule before May 15 and argues that it is a step backward for U.S. leadership in artificial intelligence when it negatively impacts the nation. The letter was sent on Friday, and its contents were made public on Monday.
The letter, which was also signed by Senators Markwayne Mullin, Ted Budd, Roger Wicker, and Eric Schmitt, stated, “Today, we want to do the right thing because if this rule is kept in place, it will lead to a growing amount of uncertainty, investment stalling and work slowing down, and the possibility of losing our global partnerships, which are very important and difficult to replace.“
The lawmakers say the rule they oppose is ‘destructive‘ to American advantages and urged that it be withdrawn and replaced by a different rule that will stop Communist China from claiming the lead in the leading technology without hurting American advantages.
The Commerce Department declined to comment when asked. The letter is a reminder of lingering divisions within the Republican Party between those wanting to relax world-wide restrictions on the U.S. AI chip exports and those who fear that China could obtain the prized technology.
The letter adds in a paragraph that just 18 countries are in a class with the least access to American technology and the most burdened by frequently onerous rules because of the rule’s structure, which divides nations into three tiers. It also indicates that Israel does not belong to the elite group of allies and partners.
It also notes that arbitrary buying limits and a difficult licensing process plague the second tier, which comprises most of the countries. China is ‘already correctly constrained‘ at Tier 3, according to the statement.
The constraints are not ones that U.S. companies, and, even more so, the U.S. government would be able to enforce, the senators wrote, adding that it would be hard for U.S. companies to comply with them.
The letter also says that the restrictions would incentivize buyers, in particular in Tier 2 countries, to switch to ‘cheap substitutes‘ from China that are both unregulated and much cheaper.
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