What impact will the US’ new AI chip export restrictions have on Europe?

As a comprehensive reform in AI policy, the Biden administration has announced extensive regulations that place most countries, including Turkey, in a restricted category for access to advanced artificial intelligence technologies. This represents a shift in how the U.S. controls critical computer resources.
American technology giant Nvidia issued a statement on Monday criticizing the Biden administration’s new rules regulating the sale of AI chips to foreign countries. This move is part of Washington’s efforts to tighten its control over the global flow of AI chips.
Countries that will not have access to American chips include China, Russia, Iran, and North Korea. Some countries, such as EU members France, Belgium, and Spain, are included in a special first-class list, granting them full access. However, not all European countries are on this list.
The “unprecedented and misguided” rules were stated to jeopardize America’s leadership in AI technology. The statement noted, “The first steps taken by the Trump administration laid the foundation for America’s current power and success in AI, creating an environment that allowed American industry to compete and win without risking national security.”
The company emphasized the importance of AI technologies, stating that companies and universities worldwide are benefiting from mainstream AI technologies to support economic growth in sectors like healthcare, agriculture, manufacturing, education, and countless other areas, while unlocking the potential of countries. However, according to the report, this progress is now at risk due to the Biden administration’s plans to restrict access to mainstream computer applications with the “AI proliferation” rule. This rule could undermine global innovation and economic growth.
“These rules, which appear to be ‘anti-China’ measures, do nothing to enhance America’s security. The new rules will control technology that is already widely available, even in mainstream gaming PCs and consumer hardware,” the statement read. One week before leaving office, the Biden administration took a final step to block rivals like China from accessing cutting-edge technologies by adding export restrictions on U.S.-made chips that power AI systems. U.S. Secretary of Commerce Gina Raimondo told reporters on Sunday that the new rules aim to “protect the most advanced AI technologies and prevent them from falling into the hands of our enemies, while ensuring broad sharing of benefits with partner countries.”