The United States has banned Chinese facial recognition startups from buying US products or importing American technology.
Washington this week targeted Chinese facial recognition startups SenseTime, Megvii and Yitu over national security concerns and foreign policy interests, aggravating the clash between the two economic superpowers over who will dominate the technologies of the future. SenseTime is the second-most valuable artificial intelligence startup in the world, with investments from tech giants SoftBank and Alibaba and a private market valuation of $7.5 billion, according to CB Insights.
SenseTime, Megvii and Yitu are smaller companies, but they were flourishing thanks to a glut of venture capital cash and the Chinese government's push for investments into AI. Chinese startups are still trailing their US rivals in future tech Being banned from buying tech and components from US companies could slow that momentum. Chinese AI companies rely on computer chips and graphics processing units from US companies such as Qualcomm and Nvidia .
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