The article discusses the Biden administration's chip export controls, which created a tiered system regulating AI chip exports to different countries. The first tier allowed 17 countries and Taiwan unlimited access, while a second tier faced caps, and the third tier, including China and Russia, was completely blocked. However, officials now criticize this system as unenforceable and are considering alternatives, potentially moving towards global licensing with direct government negotiations. A formal timeline for the new regulations remains unclear as discussions continue.
Commerce Department officials now say they 'didn't like the tiered system' and considered it 'unenforceable,' indicating a potential shift in export control strategies.
Reports suggest the Trump administration might discard the tiered approach in favor of a global licensing system with government-to-government agreements, changing how chip exports are regulated.
While no timeline exists for the new rule, the spokeswoman indicated that officials are still debating the best approach to replace the current regulations.
The Biden rule for chip exports was to take effect on May 15, but uncertainty remains regarding its implementation and potential replacement.
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