IBM CEO Warns Trump: Loosen AI Export Rules or Lose to Rivals

In his remarks, delivered at a White House technology roundtable with President Donald Trump on Wednesday (local time), carry particular significance for India's fast-growing AI ecosystem, which relies heavily on US hardware, software, and cloud infrastructure.

Krishna said the US must urgently enable allied nations to adopt the full suite of American-built AI tools. The IBM CEO was seated next to the president in the Roosevelt Room of the White House.

"It's incredibly important that under the action plans that you have laid out… we really help promote the AI stack, which is not semiconductors only. Those are incredibly important. But semiconductors, it's software, it's the systems which many of us here build, and it is the software applications on top," he told Trump.

He noted that current export controls -- especially on systems containing regulated semiconductor components -- are blocking US firms from deploying AI platforms in key partner markets. "The ability to take certain systems which have semiconductors inside them into these countries… right now, because we have controls on where all the semiconductors can go, then the entire system is restricted," he said.

Krishna warned that the gap was already being exploited by competitors. "Otherwise, we are afraid that competing countries are going to be able to get that stack," he said. He urged Washington to maintain guardrails but reduce unnecessary hurdles: "Lower barriers would be very, very helpful."

Trump responded that his administration would intervene quickly if needed. "I know every country very well, and we have ways of combating that quickly. So you'll let me know," he told the IBM chief.

Krishna also welcomed the administration's moves to streamline federal regulations, arguing that reduced red tape benefits both US industry and its global partners, including India-based development teams. "We really would like to thank you for everything you're doing for economic growth… and for all the work you're doing on deregulation and making things easier for business to participate in that growth," he said.

He highlighted IBM's collaboration with US government agencies on digital modernisation, work that has historically influenced best practices adopted by corporate and public-sector clients in India. "We worked with Commissioner Frank Bisignano to help make Social Security better… and we'll work with him on making IRS," Krishna noted.

Krishna, one of the most influential Indian American leaders in global technology, has steered IBM toward hybrid cloud and enterprise AI platforms central to India's digital push -- from financial services and telecom to logistics, healthcare, and government services.

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- IANS