The US intends to scrap a rule put in place by the Biden administration that aimed to limit exports of artificial intelligence chips and threatened to weigh on the sales of semiconductor groups such as Nvidia and AMD.
A US official said on Wednesday that the planned regulation, which was due to take effect on May 15, was full of red tape that made it “unenforceable”. Instead, the Trump administration intends to overhaul the rule.
The move by Washington comes as the new administration takes a more lenient approach to the regulation of AI and other advanced technologies domestically and contends with the rise of Chinese companies in the sector.
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