Biden administration officials are reviewing potential export caps of advanced AI chips from Nvidia and AMD, particularly aimed at countries in the Middle East experiencing growing demand for AI technologies supported by substantial financial backing.

Discussions are in preliminary stages, with officials noting that country-specific caps have gained traction in recent weeks.

These policies seek to limit export licenses for AI chips, driven by concerns regarding their potential implications for surveillance and geopolitical stability.

Historically, US export restrictions have focused on China due to fears that advanced AI capabilities could bolster its military and surveillance capabilities.

US National Security Council representatives have indicated that security assurances from American companies and recipient governments will be crucial in these discussions.

Tarun Chhabra, a senior official, said the necessity of addressing how these AI capabilities may be deployed, particularly important in countries prioritizing internal surveillance.

The US has restricted AI chip sales from Nvidia and AMD to over 40 countries in the Middle East, Africa, and Asia.