Multiple technology companies and foreign leaders are urging the Trump administration to reconsider restrictions on U.S. semiconductor exports, Bloomberg News reported, citing sources familiar with the matter.
The request follows the Biden-Harris administration's January unveiling of the "Artificial Intelligence Diffusion" rule, which introduced a tiered framework determining which nations can import high-end AI chips and in what quantities. Nvidia (NVDA, Financial) has already voiced opposition to the rule, and Microsoft (MSFT, Financial) asked for regulatory easing last month. Microsoft Vice Chair and President Brad Smith said the policy would limit access to essential AI components in key global markets.
As the May 15 deadline approaches, several governments and companies are requesting adjustments to the policy. But, according to the report, internal consensus on changes remains elusive, and no definitive approach has been agreed upon.
The rule divides countries into three export categories, with top allies facing no restrictions, a middle tier receiving capped access, and nations like China and Russia facing near-total bans. Some data centers in places like Malaysia and India are seeking compliance through U.S. security standards, though capacity restrictions remain.
Oracle (ORCL, Financial) and Nvidia are among the companies lobbying for full withdrawal of the rule. Oracle, for instance, is concerned that its planned $6.5 billion data center investment in Malaysia could breach the 7% cap imposed on Tier 2 nations.
Other suggestions, such as removing the tier system entirely while keeping broad licensing requirements, are being floated but not yet seriously considered.
Companies like Alphabet's Google (GOOG, Financial), AI startup Anthropic, and trade group ITI have also expressed concerns. ITI is pushing for a full repeal of the regulation, although some of its members see the current framework as a base for further refinement.
Meanwhile, discussions with U.S. officials have included visits from representatives of countries such as India, Israel, and the United Arab Emirates. Notably, Sheikh Tahnoon bin Zayed Al Nahyan of Abu Dhabi recently met with President Trump to discuss computing resources and investment priorities.
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