The provision would direct the Commerce Department to write rules forcing cloud companies like Microsoft, Google, and Amazon to disclose when a customer purchases computing resources beyond a certain threshold. The order hasn’t been finalized and specifics of it could still change. Similar “know-your-customer” policies already exist in the banking sector to prevent money laundering and other illegal activities, such as the law mandating firms to report cash transactions exceeding $10,000.
In this case, the rules are intended to create a system that would allow the U.S. government to identify potential AI threats ahead of time, particularly those coming from entities in foreign countries. If a company in the Middle East began building a powerful large language model using Amazon Web Services, for example, the reporting requirement would theoretically give American authorities an early warning about it. The policy proposal represents a potential step toward treating computing power — or the technical capacity AI systems need to perform tasks — like a national resource. Mining Bitcoin, developing video games, and running AI models like ChatGPT all require large amounts of compute.
