The administration of US President Donald Trump and Congress officials are scrutinizing a plan for Alibaba (HKG:9988) to put its artificial intelligence software on Apple's iPhones in China, the New York Times reported Saturday.
Authorities expressed concerns that the deal would help a Chinese firm improve its artificial intelligence abilities, expand Chinese chatbots' reach with censorship limits, and intensify Apple's exposure to Beijing's regulations on data sharing and censorship, the report said.
The US government's concern comes as it is convinced AI could be used in military attacks, the report said.
Washington has been restricting China's access to AI technology such as chips, the New York Times said.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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