Microsoft urges Trump to scrap planned ban on Chinese AI data center technology

The company says a proposed ban on advanced Chinese optical transceivers could disrupt supply chains feeding its US data center buildout Microsoft is asking President Trump to cancel a planned ban on Chinese technology used inside AI data centers. The target of the proposed restriction is a small but essential component: advanced Chinese optical transceivers. It is a notable position for a company that has spent years warning Washington about helping China’s AI ambitions. Now it is warning Washington about hurting its own. The proposed ban focuses on new models of Chinese optical transceivers. These parts can handle data speeds of up to 3.2 terabits per second. Think of an optical transceiver as an interpreter stationed at both ends of a fiber cable.

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