U.S. officials have considered limiting sales of artificial intelligence chips from Nvidia and other U.S. companies on a country-specific basis, Bloomberg News reported Monday, citing people familiar with the matter.
The United States is focusing on Persian Gulf countries, the report said, adding that this new approach would set a cap on export licenses for certain countries in the interest of national security.
The idea has gained traction in recent weeks and deliberations are in their early stages and remain fluid, according to Bloomberg.
The U.S. Department of Commerce and Nvidia declined to comment, while Intel and AMD did not immediately respond to Reuters requests for comment.
Last month, the Commerce Department unveiled a rule that could make it easier to ship artificial intelligence chips like Nvidia’s to data centers in the Middle East.
Under the rule, data centers will be able to apply for validated end-user status that will allow them to receive chips under a blanket authorization, rather than requiring their U.S. suppliers to obtain individual licenses to ship products to them.
Last year, the Biden administration announced steps to expand licensing requirements for exports of advanced chips to more than 40 countries, including some in the Middle East, that posed risks of diversion to China and were subject to arms embargoes imposed by the United States.
