Chinese regulators informed major tech companies, including Tencent Holdings, Alibaba Group, ByteDance, and Baidu, that they would tighten control over the construction and operation of AI data centers, The information reported on Thursday.
According to two individuals involved in the discussions, the Chinese government is encouraging companies to establish data centers in specific locations that would allow authorities greater oversight of their operations. As explained to the tech firms, the purpose of these new regulations is to ensure that data centers are fully utilized.
The initiative is part of China's broader response to growing competition with the US in artificial intelligence, especially after American export controls restricted sales of advanced chips. The push reflects Beijing's urgency to close the gap with US players like OpenAI and manage the impact of ongoing trade tensions.
