Amazon (NASDAQ:AMZN) is reportedly shutting down its artificial intelligence research lab in Shanghai, a move that highlights the growing challenges American tech companies face in China, according to a Financial Times report released Wednesday.
The closure comes as diplomatic and regulatory tensions escalate between the United States and China, with U.S. authorities increasingly tightening oversight of domestic firms operating within Chinese borders.
In a WeChat post cited by the Financial Times, Wang Minjie, a researcher at the Shanghai facility, wrote that the team is “being dissolved due to strategic adjustments amid US-China tensions.”
The lab’s shutdown seems to be part of a wider recalibration by U.S. technology giants as they navigate an increasingly complex and politically sensitive operating environment in the world’s second-largest economy.
As of now, Amazon has not issued a public statement confirming or elaborating on the lab’s reported closure.
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