The Trump administration's decision to allow Nvidia to export a scaled-down AI chip to China raises serious concerns about U.S. technology supremacy. Critics warn that this could enable China to leapfrog America in AI capabilities.
In a major policy shift, the U.S. Department of Commerce has rescinded a Biden-era rule that limited AI chip exports, easing tensions with tech firms and foreign nations. This move is expected to bolster American innovation while addressing national security concerns.
Markets open cautiously as S&P 500 and Nasdaq show a subdued start amidst concerns over trade controls and awaited earnings reports. Dow Jones rises slightly while Nasdaq drops.
