The United States is preparing to impose huge restrictions on the sale of advanced AI chips overseas.
If the rules come into effect as planned on May 15, U.S. technology companies such as NVIDIA may face major obstacles in global AI races.
According to the proposed system, known as “AI Proliferation” (from the tail of the Biden regime), the state divides the countries into three layers based on their intimacy with the United States. Top allies like Japan and most of Europe will use AI technology relatively smoothly.
But a broad second tier, including countries such as India, Brazil and Saudi Arabia, will face tighter controls. Their computing power will be limited and must meet strict safety standards.
It is foreseeable that China and Russia are in the third layer, effectively preventing imports of cutting-edge American AI chips.
These restrictions have raised a wake-up call for U.S. chip manufacturers. NVIDIA earns almost half of its revenue abroad. The company warned that the rules could have a big impact on its sales.
But it’s not just money. Export control is part of the broader U.S. efforts to maintain its AI advantages. However, some experts warn that too restrictive can backfire. They noted that many key AI breakthroughs come from global collaboration. They believe that cutting too many countries may harm the interests of the United States.
As the May 15 deadline approaches, the Trump administration faces a balance bill. There are bipartisan supporters to protect American technology, but there are economic risks in alienating allies.
The rise of China’s artificial intelligence industry will only increase pressure. Beijing makes technical self-sufficiency a top priority. It pours funds into local chip development. It is getting results.
Check out DeepSeek. In a few months, Chinese startups have gone from obscurity to comparisons with Openai. Its rapid progress, driven by strong government support and unparalleled data access, shifted from Silicon Valley to Washington.
For some, the rise in DeepSeek is the “Sputnik moment” for AI, a wake-up call that the United States may lose its advantage.
As clock ticking slows down to May 15, the choice made – cutting AI exports or taking a more open approach – could have a ripple effect in a tech industry facing uncertainty.
As they said, the chips are on the table. The question now is how the United States will play a role.
