US Considers Ban on Americans Using Chinese AI Service DeepSeek
The Trump administration is considering penalties blocking China’s DeepSeek from buying U.S. technology. Not only this, but the US administration is also considering putting a ban on Americans using DeepSeek.
Just recently, China launched its low-cost AI model, DeepSeek. Since its launch, the service has a huge popularity and has become famous in no time. But this does not look good to the US. The US government has since taken steps to crack down on the Chinese start-up and its support from chip maker Nvidia.
US Considers Ban on Americans Using Chinese AI Service DeepSeek
Nvidia’s AI chips have been a key focus of U.S. export controls. Just recently, the U.S. government announced new export licensing requirements for Nvidia’s H20. Nvidia, a leader in GPU technology, revealed that it would incur significant financial outcomes as a result of these new restrictions. The company said it will face a $5.5 billion loss because of restrictions on exporting its H20 AI chips to China.
The U.S. House Select Committee on China said in a report that “it has sent a formal letter to Nvidia demanding answers about sales to China and Southeast Asia to examine whether and how its chips ended up powering DeepSeek’s AI models—despite U.S. export restrictions”.
We already know that the U.S. has banned exports of Nvidia’s most advanced chips to China since 2022. The reason behind this restriction is that the US government thinks that China could use advanced technologies to build up its military capabilities.
Anyhow, DeepSeek and the White House have not revealed any statement regarding this yet. The coming months are so crucial in this matter. Only time will tell how both countries will act to overcome the situation.
See Also: Nvidia Faces $5.5B Blow Due to New China Restrictions
