The Information Technology Industry Council (ITI), which includes companies like Amazon, Microsoft, and Meta, warned that the rule could harm US leadership in artificial intelligence.
The rule—expected to be announced as soon as Friday—aims to regulate AI chip exports to prevent adversaries from accessing advanced computing systems. According to ITI CEO Jason Oxman, the restrictions could impose arbitrary limitations on US firms’ ability to sell these systems internationally, potentially benefiting global competitors.
The proposed AI chip exports control seeks to balance national security concerns—particularly regarding China’s military capabilities—with the interests of the US tech industry.
In a letter to Commerce Secretary Gina Raimondo, Oxman criticized the timing of the rule—coming in the final days of President Biden’s term—and called for a more deliberate approach.
“Rushing a consequential and complex rule to completion could have significant adverse consequences,” Oxman stated in the letter dated January 7.
While ITI acknowledged the importance of national security, it emphasized the risks to US global competitiveness in AI. The group recommended issuing the controls as a proposed rule-making process to allow for broader industry input.
The Semiconductor Industry Association also voiced its concerns, releasing a statement opposing the expected rule. Oracle’s Executive Vice President, Ken Glueck, criticized the draft in a blog post, labeling it “one of the most destructive” regulations to hit the US tech sector.