The Biden Administration on the 17th (local time) has decided to prohibit the export of low-spec Artificial Intelligence (AI) semiconductors to China.
Additionally, to prevent circumvention of regulations through third countries, the export of semiconductors to overseas branches of Chinese companies will also be blocked.
On the 17th, the Department of Commerce announced these semiconductor export control measures against China. The department added performance standards for AI semiconductors, blocking exports of low-spec AI semiconductors by the US semiconductor company NVIDIA to China. After the Biden Administration's semiconductor export regulations last October, which limited exports of AI semiconductors above a certain speed, NVIDIA developed the slower A800 and H800 semiconductors to bypass this standard and sold them to China.
The Commerce Department has also prohibited semiconductor exports to business entities in China, Macao, and countries under US arms embargoes. It is known that Chinese semiconductor companies have been importing US-regulated semiconductors through third countries to bypass US restrictions.
This move comes after criticism arose when Chinese telecommunications company Huawei, despite US semiconductor export restrictions, recently released a new smartphone equipped with advanced 7nm semiconductors.
Gina Raimondo, the US Secretary of Commerce, stated, "AI in the wrong military hands can do tremendous and serious harm." She emphasized, "The goal of this measure is to prevent US and allied technologies from being used for China's military advancement, " and added that "semiconductor export regulations will be updated annually."
An official from the Biden Administration noted, "We can't say that the effect of limiting China's AI capabilities used in benign areas is non-existent," but stressed that "we need to focus on the impact on national security."
China is expected to strongly oppose this action. Mao Ning, a spokesperson for China's Foreign Ministry, criticized the US before the export regulation announcement, saying, "China will protect its interests, " and that "the US should stop politicizing and weaponizing trade and technology issues." Although the US established an export control information exchange body with China through Raimondo's visit in August, the AP reported that the US did not notify China in advance about the additional AI semiconductor export regulations.
Following the announcement, NVIDIA's stock price dropped nearly 7% immediately after the opening of the New York Stock Exchange, while other semiconductor companies like AMD and Intel also saw about a 3% drop. The Semiconductor Industry Association (SIA) pointed out in a statement that "excessively broad and unilateral regulations pose a risk of harming the US semiconductor ecosystem more than improving national security."
However, this measure is not expected to directly impact South Korean semiconductor companies. The US Department of Commerce extended the exception to the semiconductor equipment export regulation without a validity period for Samsung Electronics and SK Hynix's factories in China by revising the 'Validated End User (VEU)' regulation.
[Korean reaction]
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I fear the Korean Peninsula might end up like that. The war that erupted with the rise of the far-right regime in Israel. These days, with our president's casual remarks, our military is jittery, wondering what North Korea is thinking, getting startled even by the sound of fireworks.
I have no words for this war... I don't know whose side to take... However, both parties involved in the war should face historical judgment...
Watch out for Yoon Seok-yeol who incites war! Think about the sacrifices of civilians!
It was Israel that intruded into Palestinian land; relying on the backing of the West, it was Israel that unilaterally established a nation.
**It's important to note that these comments are just a subset of individual reactions to a specific news event and do not represent the overall public opinion. While presenting genuine reactions is crucial, it's equally essential to understand that there might be cultural or societal context differences that could lead to misunderstandings. Hence, a thorough explanation accompanying such comments is advisable. Moreover, to ensure balanced information dissemination, it's recommended to include a diverse range of opinions and not just extreme ones.
