US closes loophole that allowed Chinese-owned subsidiaries located outside China to buy AI chips — report claims that hundreds of thousands of advanced AI chips have been acquired through BIS blind spot

The BIS just issued a clarification that Chinese-owned subsidiaries are included in U.S. export controls, even if they're based outside of China. However, one source said that some companies have been using this loophole to acquire AI chips that estimated to be in the hundreds of thousands.

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