The EU plans to step up controls on its home-grown technology. That is the short version.Continue Reading Protective Packaging: The EU’s Economic Security Package Changes the Landscape in Global Technology Controls
The US just catapulted into being the world leader on regulating AI. Bypassing Congress, the White house issued an Executive Order focusing on safe, secure and trustworthy AI and laying out a national policy on AI. In stark contrast to the EU, which through the soon to be enacted AI Act is focused primarily on regulating uses of AI that are unacceptable or high risk, the Executive Order focuses primarily on the developers, the data they use and the tools they create. The goal is to ensure that AI systems are safe, secure, and trustworthy before companies make them public. It also focuses on protection of various groups including consumers, patients, students, workers and kids.Continue Reading White House Executive Order Ramps Up US Regulation of and Policy Toward AI
- Advanced Computing and Supercomputing ECCNs are expanded.
- Controls applied to exports to countries other thanChina; countries from where items may be reexported to China.
- Chipmaking equipment controls are expanded and the de minimis rule reduced.
- New entities are added to the U.S. Entity List with the Footnote 4 (FN4) FDPR designation.
- More U.S.-person activity is controlled.
On August 9, 2023, President Biden issued an Executive Order (E.O.) ordering the issuance of outbound investment restrictions. This E.O. comes after nearly a year of anticipation (as we have documented on several occasions over the past year). This is the start of the reverse Committee on Foreign Investment in the United States (CFIUS) process that has been mostly speculation (and blog articles) until yesterday. In conjunction, the Treasury Department issued a press release, fact sheet, and Advance Notice of Proposed Rulemaking (ANPRM) seeking comments from the public on the proposed restrictions by September 28.Continue Reading Reverse CFIUS Unveiled: Focus on China, Semiconductors, Artificial Intelligence, and Quantum Computing
It looks like the licensing restrictions on Huawei are trickling into effect.
Our sources indicate that, as early as February 27, all license applications for exports or transfers involving Huawei which were pending with the U.S. Bureau of Industry and Security (BIS) have been placed on Hold Without Action. Further, we understand from various industry sources that BIS has begun informing certain U.S. companies that they will not receive further licenses to export chips for end use by Huawei.Continue Reading Breaking the Link – New Developments on U.S. Licenses for Exports to Huawei
Update and Correction: We had understood that the date for the announcement of a regulatory change would be February 13. That understanding is (pretty obviously, now, on February 14) incorrect. We still believe the change is imminent and will update as soon as we have further information.
- Soon, the U.S. government will officially issue a stricter policy of denial for providing lower-tech items to Huawei.
- Technological containment continues as the Netherlands and Japan move to impose U.S.-style restrictions on semiconductor exports to China.
- New outbound investment controls likely to focus on semiconductors, AI, and quantum computing.
- Biotechnology and battery technology investments overseas may not be subject to the upcoming proposed controls.
On August 28, 2020, China took its own swing in the fight over TikTok. The blow, however, may land right in the middle of U.S.-China technology research, collaboration, and innovation. New export regulations may require licenses from the Chinese government before researchers in China may share their technological advances with colleagues, counterparts, or customers in the United States.
Continue Reading China Expands Technology Export Controls: Fighting back on TikTok and Putting Your R&D at Risk
This article originally appeared in Risk & Compliance magazine in the UK, a publication of Financier Worldwide. The piece includes UK spelling and grammar.
A wave is coming. An enormous wave of regulation will soon crash on Silicon Valley, Boston and other tech centres around the United States, and very few people have their surfboards ready.
Major technologies in exciting emerging fields (among them, biomedicines, virtual reality, and robotics) will soon be subject to strict export controls that will limit who can receive the technologies, who can use them, and even who can research them.
Forthcoming export controls will disrupt logistics planning, information sharing, R&D, and acquisition strategies for companies in the United States and all around the world.
Continue Reading INTERNATIONAL TECH INVESTMENT ISSUE – A Wave of Export Regulation to Hit US Technologies
*This is an updated version of the December 10th blog post.
- Emerging technology sectors are being reviewed now for new export controls that could take effect in 2019 (list below).
- You may submit comments on the criteria the U.S. government will use to determine what technologies are subject to export controls.
- The deadline for comments has been extended to January 10, 2019.
- We can help.
- Emerging technology sectors will soon be subject to new export controls.
- Affected sectors include biotech, computing, artificial intelligence, positioning and navigation, data analytics, additive manufacturing, robotics, brain-machine interface, advanced materials, and surveillance.
- New export controls on these sectors will likely require companies to obtain a license to export products to China and other destinations, and impose restrictions on sharing information with foreign nationals.
- These sectors will also be added the list of industries subject to enhanced foreign investment scrutiny by the U.S. Committee on Foreign Investment in the United States (CFIUS).
- The U.S. government has invited comments on the criteria to be used to establish new controls. The deadline for comments is December 19, 2018.
Export controls and other regulations often lag a step or two behind the times. That trend has accelerated with the pace of technological advancement. As a result, for many years, technical know-how in many cutting-edge technical fields has not been subject to export controls. This has meant that many commercial technical innovations could be freely exported without significant restrictions. As long as they were not designed for a military application, and no encryption technology involved, many new ideas developed in the United States were simply unaccounted for in the U.S. Export Administration Regulations (EAR).
But the U.S. Department of Commerce, Bureau of Industry and Security (BIS) is about to make up a lot of ground in a single, large leap.
Continue Reading The Little Regulation That Will Make a Big Change in How You Do Business: Department of Commerce to Establish New Export Controls on Emerging Technologies