US ban on investing in Chinese AI startups could intensify under Trump

The more certain short-term impact is that U.S. investors who are still interested in Chinese AI startups will need to do much more due diligence. The Treasury Department is not setting up a new government committee like CFIUS that will review every transaction submitted by investors, but rather asking them to do their own homework and declare whether they think a Chinese AI company would be covered.

Under the new rules, even if a Chinese startup's AI model is below the threshold of 1,025 flops, a U.S. investor could still have a responsibility to notify the Treasury Department of its transaction and the duties it has. has performed, provided that its model has at least 1,023 failures (essentially encompassing all large-scale models developed today and in the future). In effect, this means that the US government is creating its own system to monitor the overall flow of money from US investors to Chinese companies working in AI.

To confirm that a transaction is out of reach, U.S. investors will need to conduct significant due diligence, says Robert A. Friedman, an international trade attorney at the law firm Holland & Knight. Although these rules have been welcomed by domestic AI companies and their backers, they will become an obstacle for venture capitalists with international portfolios, he says.

An uncertain future

The restrictions on outbound investments are set to take effect on January 2, and in the meantime the Treasury Department has signaled that some small changes are still in the works to further clarify the rules. Officials also said they were working to coordinate with U.S. allies, such as G7 countries, to introduce similar measures that would prevent Chinese AI companies from turning to private equity firms. risk in Europe, Canada or Japan for the types of investments prohibited in the United States.

The biggest uncertainty right now, as in most areas of the U.S. federal government, is how a second Trump presidency might change things. Danzman notes that many members of the venture capital community who have supported Trump are opposed to the types of regulations introduced by the Treasury Department, and thus could potentially try to pressure the president to roll them back. Several major US companies, such as Tesla and Blackstone, both run by openly pro-Trump billionaires, have significant investments in China and could see their businesses negatively affected by tighter constraints.

Other WIRED experts have weighed in and expect the new Republican administration, which is expected to include a number of China hawks like Rubio, to expand the scope of the rules. It is possible that we could see a new executive order. Or, given unified Republican government, perhaps expansion would come through legislative action, Kilcrease says. That could mean more measures targeting other types of Chinese startups, in sectors ranging from biotechnology to batteries.

The Biden administration's technology policy toward China has been defined, at least in principle, by the idea of ​​a small yard, a high fence, or, in other words, the designation relatively narrow areas where the US government can impose very strict restrictions. The latest version of the outbound investment rules is an example of what this idea looks like in action. But under Trump, Chinese companies could eventually realize the real size of the project.

What Are The Main Benefits Of Comparing Car Insurance Quotes Online

LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos