AI Frontiers

“Can ‘Location Verification’ Stop AI Chip Smuggling?” by Scott J Mulligan


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US export controls are meant to keep advanced AI chips out of rival hands — but tens of thousands slip through each year. A new bill aims to change that by checking where these chips end up.

US Senator Tom Cotton (R-AK) introduced the Chip Security Act on May 9, which, if enacted, will require “a location verification mechanism on export-controlled advanced chips.” A bipartisan House companion bill was introduced on May 15 by Representatives Bill Huizenga (R-MI), Bill Foster (D-IL), John Moolenaar (R-MI), and Raja Krishnamoorthi (D-IL). These bills were proposed as the Trump administration works toward replacing the Biden-era diffusion rule, which set up a tiered system governing countries’ access to AI chips exported from the US. Office of Science and Technology Policy (OSTP) Director Michael Kratsios recently called for “strict and simple” export controls, while White House AI and Crypto Czar David Sacks said that a [...]

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Outline:

(01:52) How Smugglers Evade Export Controls

(03:42) Delay-based Location Verification

(04:54) Privacy and Security

(07:40) Feasibility of Location Verification

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First published:

May 19th, 2025

Source:

https://aifrontiersmedia.substack.com/p/can-location-verification-stop-ai

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Narrated by TYPE III AUDIO.

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AI FrontiersBy Center for AI Safety