>> A war of words over trade between the US and China may have quieted down for now. But Washington is still looking for ways to level the playing field. Sources tell Reuters, the Trump White House is mulling the idea of taking a deeper look at informal corporate partnerships, particularly when it comes to artificial intelligence.
Reuters correspondent Gwei Ching.>> So AI can be used to power drones, AI can be used for facial recognition technology which for instance the Chinese government is using these days to detect fugitives in China. The general concern that the US government has is Chinese investment or research in AI could eventually be used for Chinese military purposes that could hurt America's interests in the long run.
>> Any crackdown could have big implications for company like Nvidia, a global leader in AI technology which is already deeply entrenched in China, and gets 20% of its revenues there. And it's not alone, major America tech companies like Advanced Micro Devices, Qualcomm and IBM are in similar situations.
That creates a dilemma for both Republicans and Democrats who see these partnerships as an open door to intellectual property theft and technology transfer to China.>> What the government is now considering is using the International Emergency Powers Act which will allow the US government to basically declare a state of emergency and to review or stop any investments that they think may undermine America's interests when it comes to investments.
>> The White House declined to comment. But tech industry insiders warn any forced break ups could backfire leaving US tech companies with few friends and the world's second biggest market.