Trump plans to use AI chips as a new bargaining chip in trade negotiations

The Trump administration is working to change a Biden-era rule that restricts access to artificial intelligence chips by countries around the world, three people familiar with the matter said. Potential changes include removing the classification of different countries around the world into several grades to help determine how much advanced semiconductors a country can get. Those plans are still under discussion, the sources said, warning that could change. But if implemented, it could open the door to using U.S. chips as a more powerful negotiating tool in trade talks. The previous rule, released in January, aimed to divide access to cutting-edge artificial intelligence chips and control the weighting of certain models to keep the most advanced computing power in the United States and its allies. Currently, the rule divides the world into three grades. According to sources, Trump administration officials are considering abandoning the tiered access approach in the rule and replacing it with a global licensing system under an intergovernmental agreement.