Microsoft lobbies Trump admin to keep Chinese hardware in US AI data centers
kevinnbass · x · 2026-11-11
Reuters reports Microsoft is lobbying the Trump administration to keep Chinese hardware inside US AI data centers. The FCC wants to ban Chinese optical transceivers — the parts linking AI chips — over fears Beijing could steal data or shut data centers down; key supplier Zhongji Innolight is on the Pentagon's Chinese military-linked companies list.
Microsoft argues America will lose the AI race unless it keeps buying from China — echoing Nvidia's earlier lobbying to keep selling chips to China. The quoted author compares keeping Chinese equipment in US data centers to storing CCP munitions on military bases.
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