Amazon (NASDAQ:AMZN) is aligning with Microsoft (NASDAQ:MSFT) in supporting new U.S. legislation designed to tighten controls on Nvidia’s (NASDAQ:NVDA) chip exports to China, the Wall Street Journal reported Thursday, citing congressional aides and people familiar with the discussions.
Microsoft has already publicly endorsed the Gain AI Act—a proposed bill that would require Nvidia and other advanced-tech suppliers to prioritize U.S. customers before shipping products to China or other restricted markets.
According to the report, executives from Amazon’s cloud division recently told Senate staffers that they, too, back the measure. If enacted, the Gain AI Act would give U.S. firms first access to Nvidia’s sought-after AI processors, a move expected to benefit major domestic cloud and AI companies.
Anthropic, the AI startup backed by Alphabet (NASDAQ:GOOGL), is also supporting the proposal, the WSJ said.
Lawmakers are now considering adding the measure as an amendment to the National Defense Authorization Act, with the bill reportedly drawing bipartisan interest.
The legislative push comes as Nvidia continues to struggle in China following tougher export restrictions imposed earlier this year under former President Donald Trump. Although the Trump administration later loosened parts of the policy, the company still cannot sell its most advanced chips in China. New reports also suggest that even Nvidia’s scaled-down alternatives may soon be barred from the market.
Nvidia is simultaneously facing regulatory and competitive headwinds in China as Beijing accelerates efforts to achieve full domestic independence in AI technology.