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US implements new controls on advanced technology alongside international partners

Published 09/05/2024, 09:32 AM
Updated 09/05/2024, 11:26 AM
© Reuters. FILE PHOTO: A hand is seen on a laptop with binary codes displayed in front of the USA flag in this illustration taken, August 19, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

By Karen Freifeld

(Reuters) -The United States on Thursday published new controls on advanced technology, including quantum computers, in line with restrictions imposed by international partners.

Besides quantum computing items, the controls will affect equipment for producing advanced semiconductors, additive manufacturing items to produce metal components, and gate all-around field-effect transistor (GAAFET) technology, according to the Federal Register posting.

"Today's action ensures our national export controls keep step with rapidly evolving technologies and are more effective when we work in concert with international partners," Commerce official Alan Estevez said in a statement.

Several countries, including the United Kingdom, already have imposed similar controls, and others are expected to do so as well.

"The most significant controls are the ones on quantum computers and related technology," said Washington trade lawyer Kevin Wolf. "They have novel reporting requirements for new foreign national employees working on quantum computer development in the U.S."

Wolf also noted that the GAAFET controls will not apply to the design for the broader integrated circuit, only to the production of the GAAFET architecture.

GAAFET is a cutting-edge chip architecture that helps improve chip performance and reduces power consumption.

Celia Merzbacher, executive director of the Quantum (NASDAQ:QMCO) Economic Development Consortium (QED-C), said that the United States was trying to strike a balance with the workforce rules, but that they could impact hiring decisions, even if they are only reporting requirements.

© Reuters. FILE PHOTO: A hand is seen on a laptop with binary codes displayed in front of the USA flag in this illustration taken, August 19, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

The government acknowledges "the importance of expertise in quantum and how short the supply of talent is, and the need to be open to getting the top talent to work at U.S. firms," Merzbacher said.

But, she said, small companies may decide, "we don't want to have to figure out this reporting. We will only hire U.S. citizens ... and then they're limiting themselves and we're not getting the benefit of some talent that could be incredibly useful."

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