US sets new rule that could spur AI chips to the Middle East


Semiconductor chips are seen on a printed circuit board in this illustration picture taken February 17, 2023. REUTERS/Florence Lo/Illustration/File Photo

WASHINGTON (Reuters) - The U.S. Commerce Department offered a program on Monday for overseas data centers to get AI chips without individual licenses, according to a government posting.

Companies most likely to apply for the "Validated End User" program are in countries that have license requirements for advanced chips, such as those in the Middle East, a U.S. official said.

U.S. exporters can ship items to Validated End Users under a general authorization rather than individual license requirements.

The United States will work with data centers that apply for the program as well as host governments to ensure the safety and security of the technology, the official said.

(Reporting by Karen Freifeld; Editing by Doina Chiacu and Mark Porter)

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