Regulatory action on chips, AI is coming, Commerce official says

U.S. Commerce Department official Jeffrey Kessler said at a hearing on Tuesday that regulatory action on artificial intelligence and semiconductors is coming, noting the Trump administration does not plan to replace the Biden-era AI diffusion rule that caps AI chip shipments to certain countries.

WASHINGTON, July 14 Reuters - Action regulating artificial intelligence and semiconductors is coming, a U.S. Commerce Department official who oversees export controls said at a hearing on Tuesday. The official, Jeffrey Kessler, made the remarks while noting that the Trump administration does not plan to replace the Biden era AI diffusion rule, which set up a global regime capping AI chip shipments certain countries could receive. Reporting by Alexandra Alper