US pressure on overseas AI compute squeezes Chinese tenants and Southeast Asian data centers as Beijing pushes domestic chips

DIGITIMESNovember 5, 2026en

Chinese AI developers are losing a key route to advanced US chips, renting them in data centers outside China, as Washington and US companies stretch American controls over compute well beyond US borders. The squeeze falls heavily on Southeast Asian data center operators that built capacity around Chinese demand. Beijing, meanwhile, is pressing its own tech giants to rely less on American hardware.

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