The Biden administration has been delaying permission to export large-scale artificial intelligence (AI) accelerators to Middle Eastern countries, citing concerns about access by Chinese companies. AI accelerators refer to specialized chips used for AI training. They are created by combining semiconductors such as graphic processing units (GPUs), high-bandwidth memory (HBM), and neural processing units (NPUs).
According to the media, on May 30, the Biden administration has either not responded or delayed responses to applications for permission to sell large-scale AI accelerator products to countries such as Saudi Arabia, the United Arab Emirates (UAE), and Qatar in recent weeks.
The U.S.’s slowdown in exporting large-scale AI accelerators is to secure time to develop a comprehensive strategy for selling these advanced semiconductor chips overseas.
The U.S. government is reportedly concerned that Chinese companies may gain access to these chips through data centers in the Middle East. Due to export control measures, they cannot purchase America’s cutting-edge semiconductors.
Saudi Arabia and the UAE in the Middle East are looking to import large quantities of semiconductor chips used to build AI data centers.
The U.S. Department of Commerce stated, “Concerning the most advanced technologies, we conduct thorough reviews of applications from companies looking to sell advanced chips globally through a cross-departmental process.”
The Department of Commerce added, “We are working to closely cooperate with our partners in the Middle East and worldwide to protect the U.S. technology ecosystem.”
The U.S. Department of Commerce announced measures to strengthen semiconductor export control against China in October 2023. In these measures, the department required separate permissions for exports to over 40 countries at risk of transferring to China. Consequently, U.S. companies must obtain separate permission to export advanced semiconductors to countries such as Saudi Arabia and the UAE.
