Artificial intelligence is rapidly becoming the defining technology of our century, poised to reshape global power dynamics and transform industries in ways we are only beginning to grasp. I recently had the opportunity to discuss this topic with Jensen Huang, CEO of Nvidia, whose company sits at the forefront of global AI innovation. He echoed what I have heard from other leaders across the semiconductor and computer sectors: The federal government and private industry must move in lockstep to maintain American leadership in AI innovation. Our national security depends on crafting regulatory frameworks that prevent our adversaries from benefiting from our technological advances while ensuring the industry can thrive and innovate.

I have led the charge to change the Bureau of Industry and Security Rule 00636, issued by the Biden administration, that threatened these objectives by constraining companies in ways that may ultimately harm our national security. Last week, this rule was dismantled. This rule would have imposed sweeping export controls on integrated circuits above specific performance benchmarks. While billed as a means to stop foreign adversaries from obtaining advanced AI chips, its broad scope and three-tier licensing structure could have seriously limited the ability of American innovators to compete in more than 150 countries, including some NATO allies. Implementing this rule, which was scheduled for May 15, would have ceded ground in emerging markets to our adversaries as China seeks to outcompete us across all critical technology areas.