China AI devs use cloud services to game US chip sanctions

More claims are emerging that developers in China are using US-based cloud services to bypass measures intended to block its access to advanced chips and other technologies for accelerating AI development. The White House started imposing export restrictions on advanced chips to China nearly two years ago, extending them last …

[Zibob]

Prize tickets

Where's the booth to trade these things in, there will be thousands in waiting after the US set the high score in Whack-A-Mole, I'm sure they will show up soon.

And hey they can get a novelty mustache comb for their efforts too.

[martinusher]

Bit of a bind, really

The fundamental problem is that operations like AWS are first and foremost businesses and like all businesses they seek to sell products and services to customers with money. If you combine this with the notion that the Chinese have money -- lots of it -- then there's going to be a lot of incentive for creative workarounds in order that supply meets up with demand. We already know from the longstanding War Against Drugs that even an informal, cash based, market in useless and likely dangerous chemicals, chemicals that are easily traced and detected, is well nigh impossible to stop so I'm at a loss to figure out how trading in intangibles is likely to be curbed is anyone's guess. (...and as with other aspects of trade who gets to compensate the suppliers for their artificial loss of business?)

[Brewster's Angle Grinder]

Playing devil's advocae

Unlike drugs, this is not stuff that can be grown by third world farmers. They all have serial numbers.

And if you're the US administration, you've succeeded if you reduced access to the technologies. The aim is to slow China so they're never on the cutting edge. So it's a win if restrictions are making it harder, more time consuming, and more expensive to access these technologies.Though I'm sure they'll think about tightening up the restrictions.

[pavlecom]

.. forbid & then sell services, not the forbidden product

It is good for a profit, as usual US lame tactic, and all of that wrapped, as always, on sour coating of, national security & military fear-mongering.

Benefits are; bigger profit (prices are up coz of fabricated ban), and 'sweet' data & flaw of it are on/thru NSA servers. China high-science is on the hands of NSA is an end result & with a bonus result, a big extra profit. What a perversion isn't it. (but pathetic in nowadays)

"In China, AWS is the sixth-largest cloud service provider, according to research firm IDC.

Anthropic said it does not support or allow customers or end-users within China to access Claude.

“However, subsidiaries or product divisions of Chinese-headquartered companies may use Claude if the subsidiary itself is located in a supported region outside of China,” an Anthropic spokesperson said. ....

Washington was planning to introduce new rules that would require firms like Amazon and Microsoft to verify the identity of foreign entities who sign up for their services through a “know-your-customer programme”.

The proposed rule faced stiff pushback from the cloud industry."

AF - Reuters

[markrand]

We're all going to hell in a handbasket, Maam

The world seemed to be a far happier and more friendly place before crass mercantilism, disguised as security fears, killed the globalist concept of 'a rising tide lifting all boats'

[Anonymous Coward]

Actually...

...only the training part needs a lot of resources. Most of the AI work is just fine on a laptop.

So your Chinese company just needs to hire someone off Fiver to kick off training batches in AWS.