Chips-Plus Artificial Intelligence In The CHIPS Act Of 2022 – New Technology – United States – Mondaq

26 August 2022

Akin Gump Strauss Hauer & Feld LLP

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On August 9, 2022, President Biden signed the CHIPS Act of 2022(the "Act"), legislation to fund domestic semiconductormanufacturing and boost federal scientific research and development(see our previous alert for additional background). Aspart of its science-backed provisions, the Act includes many of theU.S. Innovation and Competition Act's (USICA) originalpriorities, such as promoting standards and research anddevelopment in the field of artificial intelligence (AI) andsupporting existing AI initiatives.

The Act directs the National Institute of Standards andTechnology (NIST) Director to continue supporting the developmentof AI and data science and to carry out the National AI InitiativeAct of 2020 (previous alert for additional background),which created a coordinated program across the federal governmentto accelerate AI research and application to support economicprosperity, national security, and advance AI leadership in theUnited States. The Director will further the goals of the NationalAI Initiative Act of 2020 by:

Furthermore, the Act provides that the Director may establishtestbeds, including in virtual environments, in collaboration withother federal agencies, the private sector and colleges anduniversities, to support the development of robust and trustworthyAI and machine learning systems.

A new National Science Foundation (NSF) Directorate forTechnology, Innovation and Partnerships (the"Directorate") is established under the Act to addresssocietal, national and geostrategic challenges for the bettermentof all Americans through research and development, technologydevelopment and related solutions. Over the next five years, thenew Directorate will receive $20 billion in funding. Moreover, theDirectorate will focus on 10 key technology focus areas, includingAI, machine learning, autonomy, related advances, robotics,automation, advanced manufacturing and quantum computing, amongother areas.

Within the Department of Energy (DOE), the Act authorizes $11.2billion for research, development and demonstration activities andto address energy-related supply chain activities in the ten keytechnology focus areas prioritized by the new NSF Directorate.Further, the Act authorizes $200 million for the DOE's Officeof Environmental Management to conduct research, development anddemonstration activities, including the fields of AI andinformation technology.

The Act directs NSF Director to submit to the relevant House andSenate congressional committees a report outlining the need,feasibility and plans for implementing a program for recruiting andtraining the next generation of AI professionals. The report willevaluate the feasibility of establishing a federal AIscholarship-for-service program to recruit and train the nextgeneration of AI professionals.

The Akin Gump cross-practice AI team continues to activelymonitor forthcoming congressional and administrative initiativesrelated to AI.

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