Trending Now
We have updated our Privacy Policy and Terms of Use for Eurasia Group and its affiliates, including GZERO Media, to clarify the types of data we collect, how we collect it, how we use data and with whom we share data. By using our website you consent to our Terms and Conditions and Privacy Policy, including the transfer of your personal data to the United States from your country of residence, and our use of cookies described in our Cookie Policy.
{{ subpage.title }}
Commerce Secretary Gina Raimondo arrives to a Senate Appropriations Subcommittee on Commerce, Justice, Science, and Related Agencies hearing on expanding broadband access on Capitol Hill in Washington, D.C., U.S. February 1, 2022.
National safety institutes — assemble!
The Biden administration announced that it will host a global safety summit on artificial intelligence on Nov. 20-21 in San Francisco. The International Network of AI Safety Institutes, which was formed at the AI Safety Summit in Seoul in May, will bring together safety experts from each member country’s AI safety institute. The current member countries are Australia, Canada, the European Union, France, Japan, Kenya, Singapore, South Korea, the United Kingdom, and the United States.
The aim? “Strengthening international collaboration on AI safety is critical to harnessing AI technology to solve the world’s greatest challenges,” Secretary of State Antony Blinken said in a statement.
Commerce Secretary Gina Raimondo, co-hosting the event with Blinken, said that the US is committed to “pulling every lever” on AI regulation. “That includes close, thoughtful coordination with our allies and like-minded partners.”Cloud Computing illustration.
Enter the cloud wars
The Biden administration proposed new rules on Monday placing know-your-customer requirements on cloud service providers. This is the government’s latest step aimed chiefly at keeping China at bay.
“We can't have non-state actors or China or folks who we don’t want accessing our cloud to train their models,” Commerce Secretary Gina Raimondo told Reuters. “We use export controls on chips … Those chips are in American cloud data centers, so we also have to think about closing down that avenue for potential malicious activity.”
The White House has issued export controls on the computer chips made with US parts, a stringent set of requirements that have cut off China and its technology firms from buying high-powered chips — or at least buying them through above-board means.
The chip wars now have a parallel: the cloud wars.
Know-your-customer requirements are typically imposed upon financial institutions like banks to thwart money laundering and terrorist financing. They’re not common in the much-less-regulated tech industry — something that will likely lead to moans, groans, and lawsuits from Big Tech.
US-China: Commerce Secretary Raimondo visit a success
Ian Bremmer shares his insights on global politics this week on World In :60.
US Commerce Secretary Gina Raimondo just visited China. Was it a success?
Yeah, the bar is low, the expectations are low. But the meeting was successful. In particular, we have the announcement of two more lanes of engagement within the US Department of State and Chinese Ministry of Foreign Affairs. One on commercial disputes, one on export controls. And, you know, given that these are sides that were barely talking to each other a year ago, that is an incremental positive. Also on the back of the Chinese economy continuing to underperform and the Chinese response being very incremental, they're not looking for any economic blow up with the US. And Raimondo, like Janet Yellen, who's been there recently, like John Kerry's been there recently, are the warmer, more pro-integration faces of the Biden administration. Haven't heard so much from Kurt Campbell recently. So all of that is nominally positive.
How will the Ukraine counteroffensive unfold?
Well, so far it is also marginal improvement for Ukraine. A little bit more land being taken in the southeast. One of three Russian lines of defense being broken in one place. You know, the Russians are holding pretty well defensively. The more significant counteroffensive is Ukrainian drone capabilities striking more targets inside Russia, in Moscow, in Pskov, in lots of places. And, you know, that's not about Ukraine getting their territory back. That's about Ukraine showing that their military can exact damage to the Russians. You know, on the one hand, that's a positive for Ukraine's capabilities. It's, of course, concerning in terms of the level of escalation that we might end up seeing between Ukraine and Russia and potentially between Russia and NATO. But so far, still relatively limited real news about how the counteroffensive is going.
Finally, what's next for the US economy?
Well, I'm not an economist, so I'm not going to answer that directly. What I will say is the fact that a lot of Americans continue to suffer from high levels of inflation means that even though the performance of the US economy, compared to the rest of the advanced industrial economies is actually quite strong coming out of the pandemic. That's true in terms of low unemployment levels. It's true in terms of comparatively low inflation. It's true in terms of comparative GDP growth. But overall, a lot of working class and middle class Americans still do not feel that the economy is doing well for them. Some of that is political perception, tribalism. Some of that is really suffering and a lot of inequality in the United States that hasn't been structurally addressed and probably won't be. There's more downside here for Biden in the next 12 months than there is upside from getting a Goldilocks economy going. And so on balance, I'd say this is an area of concern. But again, right now, hard to say that this is much more than incremental improvements.