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    Home » Blog » US Changes to Biden-Era AI Chips Export Rule Expected Soon: Who Benefits?

    US Changes to Biden-Era AI Chips Export Rule Expected Soon: Who Benefits?

    May 8, 2025Updated:May 8, 2025 Tech No Comments
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    Image: Gage Skidmore/Creative Commons

    The Trump administration will move up proposed restrictions on how many artificial intelligence bits other countries may acquire, planning to change a law set down by the Biden administration. According to The Wall Street Journal, the Commerce Department will reduce cap on places such as India, Switzerland, Mexico, and Israel, which had previously simply buy a limited source of superior chips.

    One effect of the change will be its possible benefits for NVIDIA, stock of the company’s share rose 3 % after the information about the AI cards export rule change was announced.

    Biden-era AI propagation concept may be modified

    The limits around AI cards, often known as the AI propagation law, were proposed in December 2024 and expected to go into effect on May 15. The Biden administration intended for the laws to keep sophisticated chips out of China’s hands. At the time, the administration planned a white list of allied countries with no restrictions, a black list of forbidden adversaries, and a fourth tier that could get a minimal number of sophisticated US chips, this next tier would have included most countries, including some of America’s allies.

    In January, NVIDIA called the AI export rule misguided. In February, Microsoft pushed for the planned AI diffusion rules to be amended to allow technology companies to sell to more countries allied with the US.

    The federal government expects to produce new guidance on AI exports within a few months, according to Axios.

    SEE: US Blocks NVIDIA Chip Sales to China – Company Projects$ 5.5B Hit

    Geopolitical context rapidly shifting as tariffs and export rules are remade

    The Trump administration hasn’t always been friendly to big tech ventures abroad, for instance, restricting the sales of specialized NVIDIA chips to China to balance giving American companies global reach while keeping its best tech out of the hands of its biggest AI rival. Instead, the Bureau of Industry and Security may discourage companies from training Chinese AI models with American chips or using chips from China-based Huawei in American tech.

    Whether the United Arab Emirates gets relatively easy access to powerful US chips is on the table as well. President Donald Trump is scheduled to visit the Middle East next week and said he “might” discuss restrictions on advanced chips at that time, according to The Wall Street Journal.

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