The European Union will raise concerns with the US over a decision to restrict the export of artificial intelligence (AI) chips from the likes of Nvidia Corp to some of its member states, according to people familiar with the matter.
In one of its last moves in office, former US president Joe Biden’s administration introduced a three-tier system to curb sales of AI chips used in data centers. The US placed Poland and a number of its allies in the EU’s east in the second-tier category of countries that face limits to the amount of computing power they can purchase.
The goal of the measures, which companies such as Nvidia and Oracle Corp have warned could be catastrophic for the US tech industry, is to ensure that the global development of AI aligns with American standards and relies on US technology.
Photo: Ronald Wittek, EPA-EFE
The rules split the globe into a group of close US allies including western European nations as well as Canada, Japan and the UK, which won’t face serious restrictions. The second category that will involve caps on AI chip imports covers most of the world, while the third group involves adversaries such as China and Russia, which are effectively barred from buying the powerful semiconductors.
The move goes against the EU’s single market by treating member states differently, said the people, who spoke on condition of anonymity to discuss private discussions. It would also hinder innovation in the bloc’s east and unfairly favor western European companies, one of the people said.
Polish Minister of Digital Affairs Krzysztof Gawkowski said the White House’s decision was “incomprehensible and is not based on any substantive reasons.” Foreign ministers from Latvia, Estonia and Lithuania said in a joint statement that it undermines “the development of our national AI eco-systems.”
Although US President Donald Trump made little specific mention of Europe in his inaugural address, he has repeatedly threatened tariffs and the bloc is bracing for the worst.
If attempts to engage with the new US administration on alternatives such as a common approach to China fail, the EU has already prepared lists of goods to target if Trump moves forward with tariffs.
SEEKING CLARITY: Washington should not adopt measures that create uncertainties for ‘existing semiconductor investments,’ TSMC said referring to its US$165 billion in the US Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) told the US that any future tariffs on Taiwanese semiconductors could reduce demand for chips and derail its pledge to increase its investment in Arizona. “New import restrictions could jeopardize current US leadership in the competitive technology industry and create uncertainties for many committed semiconductor capital projects in the US, including TSMC Arizona’s significant investment plan in Phoenix,” the chipmaker wrote in a letter to the US Department of Commerce. TSMC issued the warning in response to a solicitation for comments by the department on a possible tariff on semiconductor imports by US President Donald Trump’s
‘FAILED EXPORT CONTROLS’: Jensen Huang said that Washington should maximize the speed of AI diffusion, because not doing so would give competitors an advantage Nvidia Corp cofounder and chief executive officer Jensen Huang (黃仁勳) yesterday criticized the US government’s restrictions on exports of artificial intelligence (AI) chips to China, saying that the policy was a failure and would only spur China to accelerate AI development. The export controls gave China the spirit, motivation and government support to accelerate AI development, Huang told reporters at the Computex trade show in Taipei. The competition in China is already intense, given its strong software capabilities, extensive technology ecosystems and work efficiency, he said. “All in all, the export controls were a failure. The facts would suggest it,” he said. “The US
The government has launched a three-pronged strategy to attract local and international talent, aiming to position Taiwan as a new global hub following Nvidia Corp’s announcement that it has chosen Taipei as the site of its Taiwan headquarters. Nvidia cofounder and CEO Jensen Huang (黃仁勳) on Monday last week announced during his keynote speech at the Computex trade show in Taipei that the Nvidia Constellation, the company’s planned Taiwan headquarters, would be located in the Beitou-Shilin Technology Park (北投士林科技園區) in Taipei. Huang’s decision to establish a base in Taiwan is “primarily due to Taiwan’s talent pool and its strength in the semiconductor
French President Emmanuel Macron has expressed gratitude to Hon Hai Precision Industry Co (鴻海精密) for its plan to invest approximately 250 million euros (US$278 million) in a joint venture in France focused on the semiconductor and space industries. On his official X account on Tuesday, Macron thanked Hon Hai, also known globally as Foxconn Technology Group (富士康科技集團), for its investment projects announced at Choose France, a flagship economic summit held on Monday to attract foreign investment. In the post, Macron included a GIF displaying the national flag of the Republic of China (Taiwan), as he did for other foreign investors, including China-based
RSS