The Biden-Harris administration is releasing an AI diffusion rule to increase the United States' security and economic strength.
The White House said in a statement that the Interim Final Rule on Artificial Intelligence builds on previous chip controls by thwarting smuggling, closing other loopholes, and raising security standards.
“It streamlines licensing hurdles for both large and small chip orders, bolsters U.S. AI leadership, and provides clarity to allied and partner nations about how they can benefit from AI,” the release said.
Under the interim rule, the Commerce Department’s Bureau of Industry and Security (BIS) revises the Export Administration Regulations (EAR) controls on advanced computing integrated circuits (ICs) and adds a new control on artificial intelligence (AI) model weights for certain advanced closed-weight dual-use AI models.
“This rule will protect national security and advance U.S. foreign policy by ensuring the responsible diffusion of frontier AI technology across the world,” Under Secretary of Commerce for Industry and Security Alan F. Estevez said.
It will restrict access to AI chips and AI model weights to countries not on the U.S. government allies and partners list.
The rules were first reported in 2024 and attracted widespread criticism.
Ned Finkle, the vice president of government affairs at NVIDIA, one of the world leaders in AI technology said the interim rule threatens to “derail” innovation and economic growth worldwide and will do “nothing” to enhance U.S. security.
“The new rules would control technology worldwide, including technology that is already widely available in mainstream gaming PCs and consumer hardware,” he said in a blog post.
“Rather than mitigate any threat, the new Biden rules would only weaken America’s global competitiveness, undermining the innovation that has kept the U.S. ahead.”
According to Finkle, the AI diffusion rule is “undercutting U.S. interests”.
“As the first Trump Administration demonstrated, America wins through innovation, competition and by sharing our technologies with the world — not by retreating behind a wall of government overreach,” he said.
“We look forward to a return to policies that strengthen American leadership, bolster our economy and preserve our competitive edge in AI and beyond.”
