Trends
Chinese firms seek US chips via Amazon cloud
State-linked Chinese entities utilises cloud services from Amazon to gain U.S. AI chips, which they cannot get due to export restrictions
Headline
State-linked Chinese entities utilises cloud services from Amazon to gain U.S. AI chips, which they cannot get due to export restrictions
Context
OUR TAKE Amid geopolitical tensions, Chinese companies continue to rely on Amazon cloud services, which shows the complexity of international technology trade. China has a certain degree of adaptability in protecting advanced technology, but this move has also raised questions about the compliance of US export regulations. –Lily,Yang, BTW reporter Recent public bidding documents show that Chinese entities with government ties are turning to cloud services provided by Amazon and other competitors to obtain restricted U.S. artificial intelligence chips and technology.
Evidence
Pending intelligence enrichment.
Analysis
Although obtaining these technologies through cloud services does not violate U.S. regulations, the U.S. government has imposed export restrictions on the export of high-end artificial intelligence chips to China, citing military concerns. China has made a number of strategic efforts to ensure advanced artificial intelligence capabilities. A review of more than 50 bidding documents shows that at least 11 Chinese entities are seeking such access, and four of them specifically mention Amazon Web Services . These entities use intermediaries to comply with U.S. laws while obtaining the necessary computing power. Also read: iPad 9 drops to $224 for a limited time on Amazon Also read: Alibaba Cloud empowers rural Malaysia with digital education
Key Points
- State-linked Chinese entities are utilising cloud services from Amazon and its competitors to gain access to advanced U.S. AI chips, which they cannot directly acquire due to export restrictions.
- The use of intermediaries to access these cloud services highlights the innovative strategies employed by Chinese organisations to overcome technological barriers imposed by the U.S. government.
Actions
Pending intelligence enrichment.
