Trump administration reportedly drafting ban on Chinese datacenter components
📰 source: theguardian_business · 💼 business
the trump administration is reportedly drafting a ban on us imports of new chinese datacenter components, specifically optical transceivers that move data through fiber-optic cables. four people familiar with the matter told reuters the federal communications commission is developing the measure and hopes to publish it this year, though it could still be changed or shelved.
chinese companies control a majority of the global market for transceivers, and us tech firms have committed trillions to build out ai infrastructure that is falling behind schedule. the concerns are that chinese components could allow data theft, malware or service disruption. last month the fcc announced a ban on china's advanced humanoid robots, and the administration is also reportedly mulling restrictions on chinese open-source ai models.
the ban would likely hit zhongji innolight, a major transceiver seller added to the pentagon's list of chinese military-backed companies in june. the chinese embassy said beijing will take all necessary measures to respond to actions that harm its interests, and urged the us to stop smearing chinese companies. officials point to huawei's deep embeddedness in us infrastructure as a cautionary tale.
why it matters: new limits on chinese datacenter gear could disrupt us ai buildout and invite retaliation, shaking tech supply chains.
source: theguardian_business
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