A bipartisan group of US lawmakers introduced a bill that would bar sensitive federal systems from using optical transceivers made by China's Eoptolink and Zhongji Innolight; supporters say the devices could let Beijing disrupt access to US AI tools and cloud services.
Optical transceivers carry data over fiber-optic cables and are central to AI data centers, some of which require millions. If enacted, the bill would give the government five years to comply and let the Commerce and Defense secretaries add other companies to the list.
Industry groups argue the restriction could slow the US AI infrastructure buildout and cede ground to China as major data-center operators seek other suppliers. The Information Technology Industry Council urged the FCC in an Aug. 13 letter not to add optical transceivers to a trade blacklist, warning that supply disruptions could affect data-center deployment and US AI leadership. A Foundation for American Innovation report says US firms Coherent and Lumentum offer competitive products but lack the scale to replace Chinese vendors.
