As tensions between the US and China continue to rise, Microsoft is reportedly asking up to 800 employees in China whether they would consider leaving the country.
According to insiders who spoke with The Wall Street Journal, the corporation is giving transfers to employees who work in cloud computing or machine learning to places including the US, Australia, and Ireland.
Microsoft representatives did not immediately reply to Business Insider’s request for comment, which was made outside of regular business hours.
A Microsoft representative told the Journal that the company was still dedicated to its operations in China and that internal transfer opportunities were a typical aspect of business.
The report is released in the midst of growing hostilities between Beijing and Washington over things like AI chips. According to the Journal, the Biden administration is mulling up new regulations that would force US tech companies to obtain licenses before providing AI chips to Chinese consumers.
There have been worries that stricter regulations will lead to a conflict over chips with Beijing.
Also, Chinese authorities have been requesting that domestic IT behemoths purchase AI processors produced in China. The Information claimed this week, citing unidentified sources, that major corporations including Alibaba, Baidu, Tencent, and the parent firm of TikTok, ByteDance, were instructed to reduce expenditure on foreign-made processors like those from Nvidia.
Nvidia is hurt by the action since it views China as a vital market and a major source of income.
Geopolitical concerns have also affected other digital enterprises.
Recently, Apple has struggled in China, as local suppliers have hurt iPhone sales in this important region. It also seems like Apple is trying to move its supply networks out of China.
Beijing has begun to strictly prohibit the use of iPhones by officials. Bloomberg previously reported that Chinese authorities in at least eight regions have received orders to cease using Apple products.
