Alibaba sinks 7% as US readies curbs on China's remote access to AI chips

Alibaba shares fell as much as 7.3% in Hong Kong, dragging the Hang Seng Tech Index lower, after reports that the U.S. Commerce Department is finalizing a rule to stop Chinese AI companies from remotely accessing advanced chips in overseas data centers. The rule would extend export controls to more countries including Malaysia, Singapore and Thailand. Alibaba is seen as exposed because it reportedly rents Nvidia computing capacity through Singapore-based Megaspeed, the company at the center of the Nvidia scandal.