Heightened Tensions with China and Cybersecurity Risks Highlight How S. 2992 Would Harm U.S. National Security

Washington, D.C. (08/24/2022) – Despite promises to improve the American Innovation and Choice Online Act (S. 2992), the bill’s sponsors have failed to address the concerns voiced by industry experts and members of Congress on both sides of the aisle about the threat S. 2992 poses to national security. Congress could consider the legislation even as the relationship between U.S. and China continues to become more strained, particularly after Speaker Nancy Pelosi and other lawmakers’ trips to Taiwan highlight how S. 2992 would harm U.S. national security.

Below are four reasons why the AICOA will harm U.S. national security.

1. S. 2992 would require leading U.S. tech companies to share American user data with foreign businesses linked to the Chinese and Russian governments. 

2. S. 2992 targets American companies but allows Chinese competitors, like Alibaba and Baidu, to grow without competition from American firms.

3. S. 2992 would hand China and Russia advantages to lead tech innovation and give sensitive IP information to Beijing and Moscow.

4. China plans to surpass the U.S. in technological innovation by 2025 through heavy subsidization and protection of its technology industry while Congress is trying to pass S. 2992, which will hamstring American innovators vying to develop advanced quantum computing and artificial intelligence.

Read more about the risks that S. 2992 poses for national security here

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