The US Bureau of Industry and Security (BIS) has issued a policy statement clarifying that certain activities involving advanced computing integrated circuits (ICs) and related commodities used to train AI models may require an export authorisation under the Export Administration Regulations. These activities are: (1) exports, reexports, or transfers (in-country) of advanced computing ICs and commodities subject to the EAR to any party, such as foreign Infrastructure as a Service (IaaS) providers (e.g., data center providers), when the exporter, reexporter, or transferor has “knowledge” that the IaaS provider will use these items to conduct training of AI models for or on behalf of parties headquartered in D:5 countries (including China) or Macau; (2) transfers (in-country), defined as a change in end use or end user, of advanced computing ICs and commodities subject to the EAR already in the possession of parties such as IaaS providers, if there is “knowledge” that the items will be used by the transferee to train AI models for or on behalf of parties headquartered in D:5 countries (including China) or Macau; and (3) a “U.S. person” provides any ‘support’ or performs any contract, service, or employment, when there is “knowledge” such activity will be used for or may assist the training of AI models for or on behalf of parties headquartered in D:5 countries (including China) or Macau.
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