Is China on its way to AI domination?
According to new research released this week by the Center for Security in Emerging Technology, or CSET, China is progressing toward its goal of becoming a global powerhouse in artificial intelligence by 2030, thanks to chips developed by U.S. companies.
US AI Processors
Based on 97 publicly available documents of the Chinese military's procurement of AI processors, nearly all of them were created by American firms Nvidia, Xilinx (now AMD), Intel, or Microsemi, according to the researcher's findings.
"We could not find any public records of Chinese military units or stateowned defense enterprises placing orders for high-end AI chips designed by Chinese companies, such as HiSilicon (Huawei), Sugon, Sunway, Hygon, or Phytium," the researchers wrote.
The aforementioned U.S.-designed chips, according to Defense One, are reportedly produced in huge quantities by Asian firms such as the Taiwan Semiconductor Manufacturing Company in Taiwan and Samsung in South Korea.
Defense One noted that Nvidia's graphics processor units(GPUs) are the market powerhouse in the world for chips used to power sophisticated artificial intelligence applications.
"High Barriers to Entry"
Even though the Chinese government has invested a lot of money in creating its chips, the research claims that "high barriers to entry," such as a dependence on inherent expertise and highly sophisticated technology, have prevented Chinese enterprises from materializing their AI domination.
The Biden administration has retained the restrictions that the Trump administration put in place in 2020 to prevent American semiconductor designs from entering China. However, that hasn't prevented the Chinese military from acquiring chips through a number of means, such as purchases made through Chinese intermediaries and the creation of dummy corporations, according to CSET.
"Public equipment contracts indicate that the Chinese military purchases U.S.-origin equipment through intermediaries, including both officially licensed distributors and shell companies, not directly from U.S. semiconductor vendors," the research team wrote.
The authors added that chips are difficult to trace on their own. When they're in transit, they lack a readily apparent signature despite being highly advanced physical inputs to AI development.
The researchers suggest that the Commerce Department cooperate with partners to check intended end-users and block their export, as well as to determine better which chips may be most pertinent to the Chinese military's AI projects.
Seven Chinese military suppliers that are not included in U.S. end-user export control regimes have been found by CSET researchers. They added that other security challenges could be resolved via an open-source analysis.
Can the U.S. Government Limit Its Chips from China?
Limiting Chinese military advancements in AI and other cutting-edge technologies, according to CSET, will entail the U.S. government to adopt "novel forms of export control" measures that go well beyond the current emphasis on end-uses and end-users.
Further, they called on the U.S. government to enhance its "own situational awareness" by better utilizing open-source data and exchanging pertinent export data with partners and allies.
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Written by Joaquin Victor Tacla
