Washington weighs ban on Chinese data center imports

The administration of U.S. President Joe Biden is considering a ban on the import of Chinese data center components as part of efforts to protect AI infrastructure, including imposing restrictions on optical transceivers used for data transmission over fiber optic cables to prevent espionage and malicious software. These measures aim to prevent major Chinese companies, such as InnoLight, which holds 27% of the global market, from accessing advanced supply chains for American data centers. This move has impacted the shares of U.S. optical communication device manufacturers, which increased between 7-18%. It is part of broader efforts to restrict Chinese technological product imports and prevent a repeat of the problems caused by the previous ban on Huawei equipment.

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