Microsoft is advocating for a re-evaluation of the Biden administration's AI export rule, citing concerns that the restrictive measures may undermine U.S. leadership in artificial intelligence. The company argues that the AI Diffusion Rule imposes excessive restrictions on exports to allied nations categorized as "Tier Two" partners, which could inadvertently encourage these countries to seek alternatives, potentially increasing China's dominance in the AI sector. Microsoft contends that these rules jeopardize economic growth for those nations and ultimately impact U.S. workforce advantages as well.
"Customers in Tier Two countries now worry that an insufficient supply of critical American AI technology will restrict their opportunities for economic growth."
"If these restrictions remain, the unintended consequence will be to encourage Tier Two countries to look elsewhere for AI infrastructure and services."
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