The United States set to restrict China’s access to cloud computing

(Reuters) – The Biden administration is preparing to restrict Chinese companies’ access to U.S. cloud computing services, the Wall Street Journal reported on Tuesday, citing people familiar with the situation.

The newspaper said the new rule, if adopted, would likely require US cloud service providers such as Amazon and Microsoft to obtain permission from the US government before offering cloud computing services that use advanced artificial intelligence chips to Chinese customers.

The department said the US Commerce Department is expected to implement the restrictions in the coming weeks as part of an expansion of the semiconductor export control policy introduced in October.

The Commerce Department, Microsoft and Amazon did not immediately respond to a request for comment outside of business hours.

China said on Monday it would control exports of some metals widely used in the semiconductor industry, its latest response in an escalating dispute with the United States over access to high-tech microchips.

The controls on the minerals, which China has said are intended to protect national security and its interests, will require exporters to obtain permission to ship certain gallium and germanium products.

(Reporting by Janavi Nidumulo in Bengaluru; Editing by Kim Coghill, Robert Purcell)

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