A U.S. senator introduced a bill on Friday that would direct the Commerce Department to require location verification mechanisms for export-controlled AI chips, in an effort to curb China's access to advanced semiconductor technology.

The Shenzhen-based conglomerate currently offers its Ascend series processors, mainly the 910B and 910C, to Chinese companies. Huawei is boosting production capacity by building its own advanced semiconductor production lines, as Chinese companies cut off from Nvidia’s products are increasing orders.

The US intends to scrap a rule put in place by the Biden administration that aimed to limit exports of artificial intelligence chips and threatened to weigh on the sales of semiconductor groups such as Nvidia and AMD.

The rule, set to take effect on 15 May, aims to limit the spread of the most powerful AI chips ... the US and its close allies, while curbing access for countries of concern such as China, Russia ...

The Department of Commerce sent a letter to TSMC imposing export restrictions on certain sophisticated chips, of seven nanometre or more advanced designs, destined for China that power AI ...

This includes the advanced AI chips the US fears could fuel Chinese military development. “Our role in the semiconductor supply chain inherently limits ... blocking China from access to NVIDIA ...