The New AI Panic
Updated at 8:42 p.m. ET on October 11, 2023
For decades, the Department of Commerce has maintained a little-known list of technologies that, on grounds of national security, are prohibited from being sold freely to foreign countries. Any company that wants to sell such a technology overseas must apply for permission, giving the department oversight and control over what is being exported and to whom.
These export controls are now inflaming tensions between the United States and China. They have become the primary way for the U.S. to throttle China’s development of artificial intelligence: The department last year limited China’s access to the computer chips needed to power AI and is in discussions now to expand the controls. A semiconductor analyst told The New York Times that the strategy amounts to a kind of economic warfare.
The battle lines may soon extend beyond chips. Commerce is considering a new blockade on a broad category of general-purpose AI programs, not just physical parts, according to people familiar with the matter. (I am granting them anonymity because they are not authorized to speak to the press.) Although much remains to be seen about how the controls would roll out—and, indeed, whether they will ultimately roll out at all—experts described alarming stakes. If enacted, the limits could generate more friction with China while weakening the foundations of AI innovation
