AI Chips Now Traceable: New U.S. Bill Mandates Built-In Tracking to Crush Black Market and Combat Tech Smuggling

Written by on May 17, 2025

IN A NUTSHELL

  • 🔒 The Chip Security Act aims to embed location verification in exported AI chips to prevent unauthorized access by adversaries like China.
  • 🤝 The bill has garnered cross-party support in the U.S. Congress, reflecting bipartisan concern over technological security.
  • 💼 Companies like NVIDIA face potential revenue losses due to halted sales to China, highlighting industry blowback against existing export controls.
  • 🌐 The legislation marks a new phase in the U.S.–China tech rivalry, focusing on safeguarding American semiconductor technology.


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