Mizuho Raises Broadcom Price Target to $450 on Surging AI Chip Demand 
Apple App Store Injunction Largely Upheld as Appeals Court Rules on Epic Games Case 
Evercore Reaffirms Alphabet’s Search Dominance as AI Competition Intensifies 
EssilorLuxottica Bets on AI-Powered Smart Glasses as Competition Intensifies 
SK Hynix Shares Surge on Hopes for Upcoming ADR Issuance 
SpaceX Begins IPO Preparations as Wall Street Banks Line Up for Advisory Roles 
Nvidia Weighs Expanding H200 AI Chip Production as China Demand Surges 
Trello Outage Disrupts Users as Access Issues Hit Atlassian’s Work Management Platform 
SoftBank Eyes Switch Inc as It Pushes Deeper Into AI Data Center Expansion 
Coca-Cola’s Proposed Sale of Costa Coffee Faces Uncertainty Amid Price Dispute 
ANZ Faces Legal Battle as Former CEO Shayne Elliott Sues Over A$13.5 Million Bonus Dispute 
Trump Criticizes EU’s €120 Million Fine on Elon Musk’s X Platform 
Australia Enforces World-First Social Media Age Limit as Global Regulation Looms 
SK Hynix Considers U.S. ADR Listing to Boost Shareholder Value Amid Rising AI Chip Demand 
Rio Tinto Signs Interim Agreement With Yinhawangka Aboriginal Group Over Pilbara Mining Operations 
Air Force One Delivery Delayed to 2028 as Boeing Faces Rising Costs 
JD.com Pledges 22 Billion Yuan Housing Support for Couriers as China’s Instant Retail Competition Heats Up 
The United States is ramping up its efforts to closely monitor and expose foreign clients using cloud service providers like Amazon, Google, and Microsoft to develop artificial intelligence (AI) applications. This latest move is part of an ongoing technology conflict between Washington and Beijing.
The Proposed Regulations and their Implications
In a proposal released on January 29, Bloomberg reported that the Biden administration called for cloud service providers to disclose their foreign customers' names and IP addresses. The draft rule, published on January 28, also requires companies like Amazon, Google, and others in the industry to allocate resources for collecting and reporting suspicious activities.
Implementing these stringent regulations could have significant consequences, as it could hinder Chinese firms' access to data centers and servers crucial for training and hosting AI models. Additionally, the burden of collecting, storing, and analyzing customer data would lie upon the cloud services providers, similar to the strict know-your-customer rules in the financial industry.
According to The Straits Times, US cloud providers have expressed concerns over potential restrictions on their overseas activities, mainly if allied countries do not adopt similar measures. This discrepancy could put American firms at a disadvantage in the global market.
Notably, representatives from industry giants like Microsoft, Amazon, and Google have not yet commented on these proposed regulations outside of regular US working hours. The Commerce Department spokesperson referred Bloomberg to Commerce Secretary Gina Raimondo's remarks from last week.
National Security Threats and Focus on Chinese Firms
On January 26, Secretary Raimondo emphasized the urgency of addressing national security threats posed by AI development. This effort is primarily aimed at scrutinizing Chinese companies due to Washington's previous efforts to restrict Beijing's access to advanced semiconductors. The United States aims to curtail Chinese firms' ability to develop AI with potential military applications.
As tensions between the United States and China continue to escalate, the technology sector has become a focal point. The proposed regulations, if enacted, could significantly disrupt the collaboration between Chinese and US tech firms, impacting various industries and innovation.
Photo: Mitchell Luo/Unsplash
