A U.S. Ban on Investing in Chinese AI Startups Could Escalate Under Trump
International and Cross-Border Transactions attorney Robert Friedman was quoted in a Wired article discussing restrictions on U.S. investments in certain Chinese artificial intelligence (AI) startups, which could become even stricter under the Trump Administration. Under the new rule by the U.S. Department of the Treasury, U.S. investors will have to ensure the startup they are interested in is smaller than the 1025-flops size threshold, among other criteria. As Mr. Friedman explained, this will put more responsibility on U.S. investors beginning in January.
“In order to confirm that a transaction is out of scope, it will require significant due diligence undertaken by U.S. investors,” he said.
READ: A U.S. Ban on Investing in Chinese AI Startups Could Escalate Under Trump