The tech industry fears the Trump administration is preparing sweeping semiconductor tariffs that could severely harm US artificial intelligence innovation. Politico reported that the tariffs may be announced within weeks or months, citing eight people familiar with the plans.
The final framework could change, but one option under consideration would dramatically expand duties to cover not only chips but also products made with them, such as gaming consoles and data center servers. Industry critics have described the approach as the 'single dumbest way imaginable' to tax chips.
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