Department of Commerce Issues Proposed Rule to Regulate Infrastructure-as-a-Service Providers and Resellers
Inside Government Contracts
FEBRUARY 7, 2024
On January 29, 2024, the Department of Commerce (“Department”) published a proposed rule (“Proposed Rule”) to require providers and foreign resellers of U.S. Infrastructure-as-a-Service (“IaaS”) products to (i) verify the identity of their foreign customers and (ii) notify the Department when a foreign person transacts with that provider or reseller to train a large artificial intelligence (“AI”) model with potential capabilities that could be used in malicious cyber-enabled activity.
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