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Microsoft Urges China-Based AI Workers to Relocate Amid Escalating US-China Tech Tensions

Updated: May 23

Microsoft offers China-based AI employees the option to relocate to overseas locations amid rising US-China tech tensions. The relocation offer is extended to approximately 700 to 800 people, primarily those working on machine learning. Microsoft has halted hiring in China, indicating no new job openings in the country.

Microsoft
Credit: SCMP

In response to the growing tensions between the United States and China in advanced technology, Microsoft is offering its China-based employees working in artificial intelligence (AI) the opportunity to relocate to overseas locations such as the United States, Australia, and Ireland. This move comes as the tech giant aims to navigate the complex geopolitical landscape and ensure the continuity of its AI operations.


According to sources familiar with the matter, Microsoft has extended this relocation offer to its employees, including those from the Azure cloud computing team, who were notified earlier this week. The employees have until June 7 to make a decision. If they choose not to relocate, they can continue working with the China team.


However, it is worth noting that Microsoft has halted hiring in China, indicating that there will be no new job openings in the country. The company currently has offices in Beijing, Shanghai, and Suzhou, but it has not yet responded to requests for comment on this matter.


The relocation offer is reportedly being made to approximately 700 to 800 people, primarily those working on machine learning. This move follows Microsoft's decision last year to relocate some of its top AI researchers from China to a research lab in Vancouver, Canada. The company stated that the Vancouver lab would be staffed by researchers from offices worldwide, including China.


The escalating US-China tech war has made AI a focal point, with Microsoft positioning itself as a major player in the field. The company is a significant supporter of OpenAI, the creator of ChatGPT, and incorporates its technology into various products. However, the geopolitical tensions between the US and China are now impacting the corporate level, prompting Microsoft to take proactive measures.


The decision to relocate AI personnel reflects the broader impact of the US-China tensions. Beijing-based think tank Ambound suggests that China needs to focus on long-term talent cultivation and retention amidst these challenges. At a recent bilateral meeting in Geneva, US officials expressed concerns about the misuse of AI, including by China, while Beijing emphasised its position on US restrictions and suppression in the AI field.


The Biden administration is reportedly considering new restrictions on the export of proprietary or closed-source AI models to China. This includes the large language models that power popular chatbots like ChatGPT. These developments highlight the increasing scrutiny and control over AI technology.


While other major industry players have limited their AI services in mainland China and Hong Kong due to restrictions, Microsoft has continued to court business in these regions. This sets Microsoft apart from competitors like OpenAI and Google, who have blocked Hong Kong IP addresses from accessing their AI products.


As the US imposes restrictions on Chinese firms' access to advanced semiconductors and chip-making tools, the potential restriction on AI software usage adds another layer of complexity. The US has recently imposed additional tariffs on Chinese electric vehicles and semiconductors and is pushing forward a bill to limit commercial ties with Chinese biotech companies and their subsidiaries.

 
  • Microsoft offers China-based AI employees the option to relocate to overseas locations amid rising US-China tech tensions.

  • The relocation offer is extended to approximately 700 to 800 people, primarily those working on machine learning.

  • Microsoft has halted hiring in China, indicating no new job openings in the country.


Source: SCMP

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