The Trump administration is considering new restrictions on China’s AI lab Deepseek, which may limit the purchase of Nvidia AI chips and ban Americans from accessing AI services, The New York Times reported Wednesday.
The restrictions are part of the Trump administration’s efforts to compete with China on AI. A few months after Deepseek rocked both Silicon Valley and Wall Street, US officials appear to be weighing several options to limit access to American technology in China with consumers.
On Tuesday, the White House moved to limit Nvidia’s AI chip sales to more restrictions to China, strengthening rules created by the Biden administration.
The popularity of Deepseek’s US AI developers has skyrocketed in recent months, and the startup’s competitive pricing has forced Silicon Valley to offer frontier AI models at a low cost.
However, there are lingering questions about whether Deepseek will engage in IP theft and create some of the more competitive models. Openai alleges that a Chinese lab distilled the model and violated Openai’s terms of service.
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