A wave is coming. An enormous wave of regulation will soon crash on Silicon Valley, Boston and other tech centres around the United States, and very few people have their surfboards ready.

From biomedicines to virtual reality goggles to robotics, technologies in exciting emerging fields will soon be subject to strict export controls that will limit who can receive them, use them and even research them. A swell of US export controls is building and will break across a sweeping expanse of leading-edge technology that Americans have come to think of as the new normal.

Forthcoming export controls will disrupt logistics planning, information sharing, R&D and acquisition strategies for companies in the US and all around the world.

A swell on the horizon – the coming controls

In the past, export controls and other regulations lag a step or two behind the times. That trend has accelerated with the pace of technological advancement. As a result, for many years, commercial technical innovations in fields like data analytics, microprocessors and navigation could be freely exported without significant restrictions because they had simply gone beyond what regulators could think to name in their regulations. As long as the items were not designed for military application, and no significant encryption technology was involved, new ideas developed in the US were simply unaccounted for by the export controls in the US Export Administration Regulations (EAR)..

Apr-Jun 2019 Issue

Sheppard, Mullin, Richter & Hampton