A US senator is proposing a bill to monitor the whereabouts of AI chips and restrict access from China

A US senator has proposed legislation requiring AI chips to trace their whereabouts in order to stop them from getting to China.

In an attempt to restrict China’s access to cutting-edge semiconductor technology, a U.S. senator proposed a measure on Friday that would instruct the Commerce Department to mandate location verification procedures for export-controlled AI chips.

The “Chip Security Act” bill requires AI chips covered by export laws, as well as products that incorporate those chips, to have location-tracking devices installed in order to aid identify instances of product diversion, smuggling, or other unwanted use.

“We can continue to increase access to US technology without jeopardizing our national security with these improved security measures,” stated Senator Tom Cotton, a Republican from Arkansas.

Under the bill, enterprises that export the AI chips must also notify the Bureau of Industry and Security if their products have been tampered with or diverted from their intended location.

The action was taken just days after US President Donald Trump declared he would repeal and amend a Biden-era regulation that limited the sale of advanced AI chips in order to preserve US dominance in the field and prevent China from gaining access.

Illinois Democrat Representative Bill Foster also intends to file a bill along these lines in the upcoming weeks, according to a Monday Reuters article.

According to reports, Nvidia’s (NVDA.O) chips are being smuggled into China in violation of export control restrictions, which has heightened concerns about limiting China’s access to AI technology that could improve its military capabilities.

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