The US-based Semiconductor Industry Association (SIA) and Nvidia Corp, two leading names in the global chip industry, have criticized the US government’s new export restrictions on artificial intelligence (AI) chips.
The Joe Biden administration’s sweeping restrictions on advanced semiconductors and AI technology, which are considered national security measures, have drawn sharp criticism for potentially stifling innovation, hurting economic growth and eroding the US’s competitive advantage in AI.
In a statement on Monday, SIA CEO John Neuffer highlighted the Biden administration’s decision to impose global restrictions and burdensome licensing requirements on US exports.
He said that the company is deeply disappointed by the policy shift, which has had a significant impact before a change of administration that requires up-to-date input from the industry.
The new rules risk causing unintended and lasting damage to the US economy and global competitiveness in semiconductors and AI by ceding strategic markets to our competitors.
He added that the semiconductor firm is ready to work with the US administration to ensure a path forward that protects national security and allows them to create progress in the country.
The SIA group accounts for 99% of all US semiconductor industry sales, which will amount to $264 billion in 2023.
Its prominent member companies include Nvidia, Advanced Micro Devices Inc (AMD), Intel Corp, Broadcom Inc, Qualcomm Inc, Micron Technology Inc and Texas Instruments Inc.
Meanwhile, Nvidia is one of the world's most valuable companies with a market capitalization of $3.26 trillion.
The AI chip giant specializes in accelerating computing and graphics processing units (GPUs).
