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US Senator Demands Action on Suspected China AI Chip Diversion

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A prominent US Senator, Michael Bennet, has raised serious concerns regarding the alleged diversion of advanced American artificial intelligence chips to China. Bennet, a Colorado Democrat and member of the Senate Intelligence Committee, has formally requested detailed responses by November 24 from key Trump administration officials: Commerce Secretary Howard Lutnick, Attorney General Todd Blanche, Secretary of State Marco Rubio, and Director of National Intelligence Jay Clayton.

In a letter released to the media, Senator Bennet specifically questioned whether the Commerce Department would restrict shipments to the company 'Megaspeed' or place it on the 'Entity List', a move that would severely limit its access to US technology. He emphasized the critical need for export control regulations to effectively identify and counter entities attempting to bypass these controls. Bennet also called for international cooperation with Singapore, Malaysia, and Indonesia on this issue, alongside measures to prevent China from accessing restricted technology through overseas subsidiaries or remote computing services.

Citing reports from The New York Times, Bennet sought an update on the Justice Department's ongoing investigation into the matter. Megaspeed, however, has denied any involvement in illegal chip transfers, stating that its internal reviews found no evidence of illicit activity. This assertion, the company noted, is its own account and not an independently verified regulatory finding. Nvidia, a major chip manufacturer, has reportedly halted sales and shipments to Megaspeed since June 2025, according to The Wall Street Journal. The Congressional demand highlights internal disagreements within the administration on how to address the Megaspeed issue, with reports suggesting a clash between Treasury Secretary Scott Bessent and Commerce Secretary Lutnick over designating Megaspeed as a potential national security threat. Megaspeed describes itself as a specialized cloud provider offering AI computing resources.

Disclaimer: This story is sourced from a syndicated agency feed and has been refined using artificial intelligence to improve readability. Please note that this article was published automatically and has not undergone a human editorial review.

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