Nvidia has raised concerns about a new regulation from the Biden administration that aims to tighten US controls on AI chip exports. The company warns the rule could harm US leadership in the AI sector and stifle innovation.

Ned Finkle, Nvidia’s VP of government affairs, argued that the regulation might create bureaucratic hurdles and hinder the global marketing of US semiconductors, computers, and software.

The US Commerce Department plans to limit AI chip exports to prevent misuse by entities linked to China’s military. However, Nvidia contends the restrictions apply to technologies already common in consumer hardware like gaming hardware.

Finkle cautioned that the rule could weaken US competitiveness in AI without providing meaningful national security benefits.

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