Congress leaders back tighter AI chip export curbs after Nvidia scandal

Leaders of both parties in the US Congress are backing tighter limits on advanced chip exports to China after the scandal that ended Jensen Huang's tenure as NVIDIA chief executive, Semafor reports. Senate Majority Leader John Thune said there is a "high probability" that Congress imposes more restrictions, and House Speaker Mike Johnson spoke of "a developing consensus."

Three bills are in the Senate's version of the annual defense policy bill, the NDAA. The Chip Security Act targets smuggling of advanced AI chips, partly by verifying where they are after shipment. The MATCH Act closes loopholes on chipmaking equipment and export rules in allied countries. The AI Overwatch Act would treat chip sales more like arms sales and give Congress oversight of licences to sell chips to countries of concern, including China. Thune and Senate Armed Services Chair Roger Wicker said there is no deal yet to keep them in the final bill.

Anthropic has publicly supported all three bills. OpenAI has privately told congressional offices it supports them too, Politico reports, citing two people familiar with the matter. Politico calls it a pivot: OpenAI had toned down its push for export controls this year as its financial ties with Nvidia deepened. Nvidia, the wider semiconductor industry and the Information Technology Industry Council have lobbied against them. A version of the AI Overwatch Act was dropped from last year's NDAA after pressure from Nvidia and the White House. Nvidia said in July that a bill letting the Commerce Department regulate remote access to its chips could have "a material impact on our business," Reuters reports.