As part of its ongoing efforts to safeguard advanced technology, the Biden administration is planning to limit the access of Chinese companies to U.S. cloud-computing services, The Wall Street Journal reports. Implications for Cloud Service ProvidersAccording to sources familiar with the matter, the proposed rule would likely necessitate U.S. cloud-service providers, including Amazon.com Inc. AMZN and Microsoft Corporation MSFT, to obtain government approval before offering cloud-computing services that utilize advanced artificial-intelligence chips to Chinese customers. Further Straining U.S.-China RelationsThe new restriction, if implemented, is expected to add to the ongoing tension between the U.S. and China over access to the supply chain for the world’s most advanced technology. The Biden administration has been escalating efforts to limit the transfer of chips and other products and services to Chinese companies due to concerns about China’s advancement in artificial intelligence technologies and their potential military applications. Read More: China In Default On Trillion-Dollar Debt To US Bondholders, Policy Expert Says ‘Failure To Act Needs To End Now

Source: Wall Street Journal July 05, 2023 11:39 UTC