Want a license to sell chips to China? Better pay the man.
WSJ editorial. Excerpts:
"In any case, this is an export tax that Congress didn’t authorize. Will AMD or Nvidia challenge the political extortion in court? Selling chips in China may be more important to them than defending the legal principle that the government can’t willy-nilly shake down companies.
There’s a reasonable argument that AI chip restrictions haven’t been effective. The Biden team imposed restrictions on AI chip exports to China in 2022, but Nvidia then developed lower-power AI chips to get around them. The Chinese have also smuggled AI chips and built the advanced large-language model DeepSeek with computational workarounds."
"Relaxing its curbs in exchange for trade concessions from China and payments from chip makers suggests the Administration’s real priority is deal-making in pursuit of more revenue."
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