Advanced Micro Devices Inc. hit a US government roadblock in attempting to sell an artificial intelligence chip tailored for the Chinese market, according to people familiar with the matter, part of Washington’s crackdown on the export of advanced technologies to the country. AMD had hoped to gain a green light from the Commerce Department to sell the AI processor to Chinese customers, according to the people, who asked not to be identified because the situation is private. The chip has lower performance than what AMD sells outside of China and was designed to meet US export restrictions, they said. But US officials told AMD that the chip was still too powerful and that the company must obtain a license from Commerce’s Bureau of Industry and Security in order to sell it, the people said. AMD didn’t have an immediate comment, while the Bureau of Industry and Security declined to comment. It’s not yet clear whether AMD is applying for a license. The US has been working to limit Chinese access to cutting-edge semiconductors that can develop AI models — and the tools used to manufacture those chips — out of fear that Beijing will gain a military edge. President Joe Biden’s administration unveiled an initial set of export controls in 2022 and strengthened them last October to include more technology and curb sales to intermediary nations that might undermine the ban. The tighter controls restricted the sale of a processor that leading AI chipmaker Nvidia Corp. had designed specifically for China — in compliance with the initial 2022 version of the export rules.
Full report : AMD Struck by US Sanctions Wall in Selling AI Chip Tailored for China.
