The disagreement underscores a growing rift over how to balance global market competition with national security.
ITI cautioned in a letter to lawmakers that the proposed restrictions could damage U.S.
dominance in global markets, specifically criticizing a lengthy review process for export licenses.
Conversely, Anthropic and other proponents argue the measures are essential to providing lasting security and ensuring that high-end computing power does not benefit foreign military operations or rival AI labs.
Under the proposed AI OVERWATCH, Chip Security, and MATCH Acts, companies would be required to track their AI chips to stop illegal smuggling, while the government would gain more power to review the sale of "dual-use" chips—hardware that has both commercial and military applications.
These measures have already moved forward with bipartisan support and technical assistance from the White House.
The fate of the provisions will likely be decided soon, as the Senate is set to consider the defense policy package containing the bills after returning from recess on September 14.