Taiwanese authorities have accused 11 Chinese companies, including SMIC, of secretly setting up disguised entities in Taiwan to illegally recruit tech talent from firms like Intel and Microsoft. The Register reports: One of those companies is apparently called Yunhe Zhiwang (Shanghai) Technology Co., Ltd and develops high-end network chips. The Bureau claims its chips are used in China's "Data East, Compute West" strategy that, as we reported when it was announced in 2022, calls for five million racks full of kit to be moved from China's big cities in the east to new datacenters located near renewable energy sources in country's west. Datacenters in China's east will be used for latency-sensitive applications, while heavy lifting takes place in the west. Staff from Intel and Microsoft were apparently lured to work for Yunhe Zhiwang, which disguised its true ownership by working through a Singaporean company.

The Investigation Bureau also alleged that China's largest chipmaker, Semiconductor Manufacturing International Corporation (SMIC), used a Samoan company to establish a presence in Taiwan and then hired local talent. That's a concerning scenario as SMIC is on the USA's "entity list" of organizations felt to represent a national security risk. The US gets tetchy when its friends and allies work with companies on the entity list.

A third Chinese entity, Shenzhen Tongrui Microelectronics Technology, disguised itself so well Taiwan's Ministry of Industry and Information Technology lauded it as an important innovator and growth company. As a result of the Bureau's work, prosecutors' offices in seven Taiwanese cities are now looking into 11 Chinese companies thought to have hidden their ties to Beijing.

An anonymous reader shares a report: Microsoft has closed its IoT & AI Insider Lab in Shanghai's Zhangjiang hi-tech zone, marking the latest sign of the US tech giant's retreat from China amid rising geopolitical tensions.

The Shanghai lab, meant to help with domestic development of the Internet of Things (IoT) and artificial intelligence (AI) technologies, closed earlier this year, according to people who work in the Zhangjiang AI Island area. Opened in May 2019, Microsoft's IoT & AI Insider Lab was touted as a flagship collaboration between the global tech giant and Zhangjiang, the innovation hub of Shanghai's Pudong district, where numerous domestic and international semiconductor and AI companies have set up shop. The lab covered roughly 2,800 square meters (30,000 square feet).

The U.S. and China "are racing to build a truly useful humanoid worker," the Wall Street Journal wrote Saturday, adding that "Whoever wins could gain a huge edge in countless industries."

"The time has come for robots," Nvidia's chief executive said at a conference in March, adding "This could very well be the largest industry of all." China's government has said it wants the country to be a world leader in humanoid robots by 2027. "Embodied" AI is listed as a priority of a new $138 billion state venture investment fund, encouraging private-sector investors and companies to pile into the business. It looks like the beginning of a familiar tale. Chinese companies make most of the world's EVs, ships and solar panels — in each case, propelled by government subsidies and friendly regulations. "They have more companies developing humanoids and more government support than anyone else. So, right now, they may have an edge," said Jeff Burnstein [president of the Association for Advancing Automation, a trade group in Ann Arbor, Michigan]....

Humanoid robots need three-dimensional data to understand physics, and much of it has to be created from scratch. That is where China has a distinct edge: The country is home to an immense number of factories where humanoid robots can absorb data about the world while performing tasks. "The reason why China is making rapid progress today is because we are combining it with actual applications and iterating and improving rapidly in real scenarios," said Cheng Yuhang, a sales director with Deep Robotics, one of China's robot startups. "This is something the U.S. can't match." UBTech, the startup that is training humanoid robots to sort and carry auto parts, has partnerships with top Chinese automakers including Geely... "A problem can be solved in a month in the lab, but it may only take days in a real environment," said a manager at UBTech...

With China's manufacturing prowess, a locally built robot could eventually cost less than half as much as one built elsewhere, said Ming Hsun Lee, a Bank of America analyst. He said he based his estimates on China's electric-vehicle industry, which has grown rapidly to account for roughly 70% of global EV production. "I think humanoid robots will be another EV industry for China," he said. The UBTech robot system, called Walker S, currently costs hundreds of thousands of dollars including software, according to people close to the company. UBTech plans to deliver 500 to 1,000 of its Walker S robots to clients this year, including the Apple supplier Foxconn. It hopes to increase deliveries to more than 10,000 in 2027.

Few companies outside China have started selling AI-powered humanoid robots. Industry insiders expect the competition to play out over decades, as the robots tackle more-complicated environments, such as private homes.
The article notes "several" U.S. humanoid robot producers, including the startup Figure. And robots from Amazon's Agility Robotics have been tested in Amazon warehouses since 2023. "The U.S. still has advantages in semiconductors, software and some precision components," the article points out.

But "Some lawmakers have urged the White House to ban Chinese humanoids from the U.S. and further restrict Chinese robot makers' access to American technology, citing national-security concerns..."

As NASA faces potential budget cuts, China is unveiling an ambitious series of deep space missions -- including Mars sample returns, outer planet exploration, and a future Mars base. While some of China's plans are aspirational, their track record of successful missions lends credibility to their expanding role in space. Ars Technica reports: China created a new entity called the "Deep Space Exploration Laboratory" three years ago to strengthen the country's approach to exploring the Solar System. Located in eastern China, not far from Shanghai, the new laboratory represented a partnership between China's national space agency and a local public college, the University of Science and Technology of China.

Not much is known outside of China about the laboratory, but it has recently revealed some very ambitious plans to explore the Solar System, including the outer planets. This week, as part of a presentation, Chinese officials shared some public dates about future missions. Space journalist Andrew Jones, who tracks China's space program, shared some images with a few details. Among the planned missions are:

- 2028: Tianwen-3 mission to collect samples of Martian soil and rocks and return them to Earth
- 2029: Tianwen-4 mission to explore Jupiter and its moon Callisto
- 2030: Development of a large, ground-based habitat to simulate long-duration human spaceflight
- 2033: Mission to Venus that will return samples of its atmosphere to Earth
- 2038: Establishment of an autonomous Mars research station to study in-situ resource utilization
- 2039: Mission to Triton, Neptune's largest moon, with a subsurface explorer for its ocean

U.S. robotics companies, including Tesla and Boston Dynamics, are urging lawmakers to establish a national robotics strategy to keep pace with China's aggressive investment in AI-driven robotics. The Associated Press reports: Jeff Cardenas, co-founder and CEO of humanoid startup Apptronik, of Austin, Texas, pointed out to lawmakers that it was American carmaker General Motors that deployed the first industrial robot at a New Jersey assembly plant in 1961. But the U.S. then ceded its early lead to Japan, which remains a powerhouse of industrial robotics, along with Europe. The next robotics race will be powered by artificial intelligence and will be "anybody's to win," Cardenas said in an interview after the closed-door meeting. "I think the U.S. has a great chance of winning. We're leading in AI, and I think we're building some of the best robots in the world. But we need a national strategy if we're going to continue to build and stay ahead."

The Association for Advancing Automation said a national strategy would help U.S. companies scale production and drive the adoption of robots as the "physical manifestation" of AI. The group made it clear that China and several other countries already have a plan in place. Without that leadership, "the U.S. will not only lose the robotics race but also the AI race," the association said in a statement. The group also suggested tax incentives to help drive adoption, along with federally-funded training programs and funding for both academic research and commercial innovation. A new federal robotics office, the association argued, is necessary partly because of "the increasing global competition in the space" as well as the "growing sophistication" of the technology.

China's ambitious AI infrastructure push has resulted in hundreds of idle data centers with local media reporting up to 80% of newly built computing resources remaining unused. The country announced over 500 data center projects during 2023-2024, with at least 150 completed facilities now struggling to secure customers in a rapidly changing market.

The rise of DeepSeek's open-source reasoning model R1, which matches ChatGPT o1's performance at a fraction of the cost, has fundamentally altered hardware demand. Computing needs now prioritize low-latency infrastructure for real-time reasoning rather than facilities optimized for large-scale training workloads.

Technical misalignment compounds the problem, as many centers were constructed by companies with little AI expertise, MIT Technology Review reports. The facilities, often built in remote regions to capitalize on cheaper electricity and land, now face obsolescence as AI companies require proximity to tech hubs to minimize transmission delays. GPU rental prices have collapsed, with eight-GPU Nvidia H100 server clusters now leasing for 75,000 yuan ($10,333) monthly, down from peaks of 180,000 yuan, making operations financially unsustainable for many data center operators.

Scientists in China successfully transplanted a genetically modified pig liver into a brain-dead patient, where it functioned for 10 days. The liver, modified to reduce immune rejection, produced key proteins and bile, showing compatibility and offering hope for future short-term xenotransplants. The Guardian reports: The surgery, at a Chinese hospital last year, is thought to mark the first time a pig liver has been transplanted into a human. It raises the prospect of pig livers serving as a "bridging organ" for patients on the waiting list for a transplant or to support liver function while their own organ regenerates. [...] The latest procedure was carried out in a 50-year-old man diagnosed with brain death after a severe head injury. The patient's own liver was intact and, in a surgery that took more than 10 hours, the organ taken from a genetically modified Bama miniature pig was plumbed into his blood supply as an additional liver.

The pig had six genetic modifications aimed at preventing immune rejection. These included deactivating genes that contribute to the production of sugars on the surface of pig cells, which the human immune system attacks, and introducing genes that express human proteins to "humanize" the liver. After the transplant, the pig liver showed signs of functioning, including producing bile, which helps break down fats in the digestive system, and porcine albumin, a blood protein. The team behind the advance, described in the journal Nature, said it was not clear whether the liver would have been able to fully support the patient, given that he had an existing liver and because the liver was removed after 10 days at the request of his family.

The U.S. has added 80 entities to its export blacklist to prevent China from acquiring advanced American chips for military development, including AI, quantum tech, and hypersonic weapons. The Verge reports: More than 50 of the new entities added to the list are based in China, with others located in Iran, Taiwan, Pakistan, South Africa, and the United Arab Emirates. BIS says the restrictions have been applied to entities that acted "contrary to US national security and foreign policy," and are intended to hinder China's ability to develop high-performance computing capabilities, quantum technologies, advanced artificial intelligence, and hypersonic weapons.

Six of the newly blacklisted entities are subsidiaries of Inspur Group -- China's leading cloud computing service provider and a major customer for US chip makers such as Nvidia, AMD, and Intel -- which BIS alleges had contributed to projects developing supercomputers for the Chinese military. The Beijing Academy of Artificial Intelligence is another addition to the list, which has criticized its inclusion. "American technology should never be used against the American people," said Jeffrey Kessler, Under Secretary of Commerce for Industry and Security. "BIS is sending a clear, resounding message that the Trump administration will work tirelessly to safeguard our national security by preventing U.S. technologies and goods from being misused for high performance computing, hypersonic missiles, military aircraft training, and UAVs that threaten our national security."

The United States has won far more Nobel Prizes in physics, chemistry, and medicine than any other nation, with the UK and Germany following in second and third place, according to an analysis of nearly 900 prize-winning publications.

Universities account for roughly three-fourths of Nobel Prize-winning research, with a small number of elite institutions producing a disproportionate share of winners. Cambridge University leads with 32 prizes, followed by Harvard (22) and Columbia (13). While prizes are concentrated among researchers from the US, UK, and Germany, 43 countries have produced at least one scientific Nobel laureate.

Outside Europe and the Anglosphere, Japan leads with 11 prizes, while Argentina, China, and India have only one or two each. The average age of Nobel Prize winners has steadily increased from about 45 in the 1920s to 65 in the 2010s, though the age at which scientists perform their groundbreaking work has remained relatively constant at around 40.

"In a conversation with Tony Yu from Asus China, AMD CEO Lisa Su shared that the Radeon RX 9000 series graphics cards have quickly become a huge hit, breaking records as AMD's top-selling GPUs within just a week of release," writes Slashdot reader jjslash. TechSpot reports: AMD CEO Lisa Su has confirmed that the company's new Radeon RX 9000 graphics cards have been a massive success, selling 10 times more units than their predecessors in just one week on the market. Su also stated that more RDNA 4 cards are on the way, but did not confirm whether the lineup will include the rumored Radeon RX 9060. When asked about the limited availability of the new cards, Su said that AMD is ramping up production to ensure greater supply at retailers worldwide. She also expressed hope that increased availability would help stabilize pricing by discouraging scalping and price gouging.

An anonymous reader quotes a report from Bloomberg: Jack Ma-backed Ant Group used Chinese-made semiconductors to develop techniques for training AI models that would cut costs by 20%, according to people familiar with the matter. Ant used domestic chips, including from affiliate Alibaba and Huawei, to train models using the so-called Mixture of Experts machine learning approach, the people said. It got results similar to those from Nvidia chips like the H800, they said, asking not to be named as the information isn't public. Hangzhou-based Ant is still using Nvidia for AI development but is now relying mostly on alternatives including from Advanced Micro Devices and Chinese chips for its latest models, one of the people said.

The models mark Ant's entry into a race between Chinese and US companies that's accelerated since DeepSeek demonstrated how capable models can be trained for far less than the billions invested by OpenAI and Alphabet Inc.'s Google. It underscores how Chinese companies are trying to use local alternatives to the most advanced Nvidia semiconductors. While not the most advanced, the H800 is a relatively powerful processor and currently barred by the US from China. The company published a research paper this month that claimed its models at times outperformed Meta Platforms Inc. in certain benchmarks, which Bloomberg News hasn't independently verified. But if they work as advertised, Ant's platforms could mark another step forward for Chinese artificial intelligence development by slashing the cost of inferencing or supporting AI services.

An anonymous reader shares a Bloomberg column: Worries over China's "3D" problem -- that deflation, debt and demographics are structurally hampering growth -- are melting away. Instead, investors are talking about how the world's second-largest economy can take on the US and challenge its technological dominance. There is the prevailing sense that China's "engineer dividend" is finally paying off. Between 2000 and 2020, the number of engineers has ballooned from 5.2 million to 17.7 million, according to the State Council. That reservoir can help the nation move up the production possibility frontier, the thinking goes.

In a way, DeepSeek shouldn't have come as a surprise. Size matters. A bigger talent pool alone gives China a better chance to disrupt. In 2022, 47% of the world's top 20th percentile AI researchers finished their undergraduate studies in China, well above the 18% share from the US, according to data from the Paulson Institute's in-house think tank, MacroPolo. Last year, the Asian nation ranked third in the number of innovation indicators compiled by the World Intellectual Property Organization, after Singapore and the US. What this also means is that innovative breakthroughs can pop out of nowhere. [...]

More importantly, China's got the cost advantage. Those under the age of 30 account for 44% of the total engineering pool, versus 20% in the US, according to data compiled by Kaiyuan Securities. As a result, compensation for researchers is only about one-eighth of that in the US. Credit must be given to President Xi Jinping for his focus on higher education as he seeks to upgrade China's value chain. These days, roughly 40% of high-school graduates go to universities, versus 10% in 2000. Meanwhile, engineering is one of the most popular majors for post-graduate studies. It's a welcome reprieve for a government that has been struggling with a shrinking population.

schwit1 writes:

A compact, deep-sea, cable-cutting device, capable of severing the world's most fortified underwater communication or power lines, has been unveiled by China -- and it could shake up global maritime power dynamics.

The revelation marks the first time any country has officially disclosed that it has such an asset, capable of disrupting critical undersea networks. The tool, which is able to cut lines at depths of up to 4,000 metres (13,123 feet) -- twice the maximum operational range of existing subsea communication infrastructure -- has been designed specifically for integration with China's advanced crewed and uncrewed submersibles like the Fendouzhe, or Striver, and the Haidou series.

China's Cyberspace Administration and Ministry of Public Security have outlawed the use of facial recognition without consent. From a report: The two orgs last Friday published new rules on facial recognition and an explainer that spell out how orgs that want to use facial recognition must first conduct a "personal information protection impact assessment" that considers whether using the tech is necessary, impacts on individuals' privacy, and risks of data leakage. Organizations that decide to use facial recognition must data encrypt biometric data, and audit the information security techniques and practices they use to protect facial scans. Chinese that go through that process and decide they want to use facial recognition can only do so after securing individuals' consent. The rules also ban the use of facial recognition equipment in public places such as hotel rooms, public bathrooms, public dressing rooms, and public toilets. The measures don't apply to researchers or to what machine translation of the rules describes as "algorithm training activities" -- suggesting images of citizens' faces are fair game when used to train AI models.

"China is considering trying to blunt greater U.S. tariffs and other trade barriers," reports the Wall Street Journal, "by offering to curb the quantity of certain goods exported to the U.S., according to advisers to the Chinese government." Tokyo's adoption of so-called voluntary export restraints, or VERs, to limit its auto shipments to the U.S. in the 1980s helped prevent Washington from imposing higher import duties. A similar move from Beijing, especially in sectors of key concern to Washington, like electric vehicles and batteries, would mitigate criticism from the U.S. and others over China's "economic imbalances": heavily subsidized companies making stuff for slim profits but saturating global markets, to the detriment of other countries' manufacturers...

The Xi leadership has indicated a desire to cut a deal with the Trump administration to head off greater trade attacks... Similar to Japan, the Chinese advisers say, Beijing may also consider negotiating export restraints on EVs and batteries in return for investment opportunities in those sectors in the U.S. In some officials' views, they say, that might be an attractive offer to Trump, who at times has indicated an openness to more Chinese investment in the U.S. even though members of his administration firmly oppose it.
The article notes agreements like this are also hard to enforce, "particularly when Chinese companies export to the U.S. from third countries including Mexico and Vietnam."

An anonymous reader quotes a report from Reuters: The Belgian prosecutor's office said on Tuesday that it has charged five people in connection with a bribery investigation in the European Parliament allegedly linked to China's Huawei. The five were detained last week. Four have now been arrested and charged with active corruption and involvement in a criminal organization, while a fifth faces money laundering charges and has been released conditionally. The prosecutor's officer did not disclose the names of those involved or give information that could identify them.

It said new searches had taken place on Monday, this time at European Parliament offices. Huawei said last week it took the allegations seriously. "Huawei has a zero tolerance policy towards corruption or other wrongdoing, and we are committed to complying with all applicable laws and regulations at all times," it said. The prosecutors have said the alleged corruption took place "very discreetly" since 2021 under the guise of commercial lobbying and involved payments for taking certain political stances or excessive gifts such as food and travel expenses or regular invitations to football matches.

Trend Micro uncovered an eight-year-long spying campaign exploiting a Windows vulnerability involving malicious .LNK shortcut files, which attackers padded with whitespace to conceal commands. Despite being reported to Microsoft in 2023, the company considers it a UI issue rather than a security risk and has not prioritized a fix. The Register reports: The attack method is low-tech but effective, relying on malicious .LNK shortcut files rigged with commands to download malware. While appearing to point to legitimate files or executables, these shortcuts quietly include extra instructions to fetch or unpack and attempt to run malicious payloads. Ordinarily, the shortcut's target and command-line arguments would be clearly visible in Windows, making suspicious commands easy to spot. But Trend's Zero Day Initiative said it observed North Korea-backed crews padding out the command-line arguments with megabytes of whitespace, burying the actual commands deep out of sight in the user interface.

Trend reported this to Microsoft in September last year and estimates that it has been used since 2017. It said it had found nearly 1,000 tampered .LNK files in circulation but estimates the actual number of attacks could have been higher. "This is one of many bugs that the attackers are using, but this is one that is not patched and that's why we reported it as a zero day," Dustin Childs, head of threat awareness at the Zero Day Initiative, told The Register. "We told Microsoft but they consider it a UI issue, not a security issue. So it doesn't meet their bar for servicing as a security update, but it might be fixed in a later OS version, or something along those lines."

After poring over malicious .LNK samples, the security shop said it found the vast majority of these files were from state-sponsored attackers (around 70 percent), used for espionage or information theft, with another 20 percent going after financial gain. Among the state-sponsored crews, 46 percent of attacks came from North Korea, while Russia, Iran, and China each accounted for around 18 percent of the activity.

fahrbot-bot shares a report from Reuters: BYD on Monday unveiled a new platform for electric vehicles (EVs) that it said could charge EVs as quickly as it takes to pump gas and announced for the first time that it would build a charging network across China. The so-called "super e-platform" will be capable of peak charging speeds of 1,000 kilowatts (kW), enabling cars that use it to travel 400 km (249 miles) on a 5-minute charge, founder Wang Chuanfu said at an event livestreamed from the company's Shenzhen headquarters.

Charging speeds of 1,000 kW would be twice as fast as Tesla's superchargers whose latest version offers up to 500 kw charging speeds. The new charging architecture will be initially available in two new EVs -- Han L sedan and Tang L SUV priced from 270,000 yuan ($37,328.91) and BYD said it would build over 4,000 ultra-fast charging piles, or units, across China to match the new platform. "In order to completely solve our user's charging anxiety, we have been pursuing a goal to make the charging time of electric vehicles as short as the refuelling time of petrol vehicles," Wang said.

"This is the first time in the industry that the unit of megawatt (charge) has been achieved on charging power," he said.

Intel's stock jumped nearly 19% this week. "However, in the past year through Wednesday's close, Intel stock had fallen 53%," notes Investor's Business Daily: The appointment of Lip-Bu Tan as CEO is a "good start" but Intel has significant challenges, Morgan Stanley analyst Joseph Moore said in a client note. Those challenges include delays in its server chip product line, a very competitive PC chip market, lack of a compelling AI chip offering, and over $10 billion in losses in its foundry business over the past 12 months. There is "no quick fix" for those issues, he said.
"There are things you can do," a Columbia business school associate professor tells the Wall Street Journal in a video interview, "but it's going to be incremental, and it's going to be extremely risky... They will try to be competitive in the foundry manufacturing space," but "It takes very aggressive investments."

Meanwhile, TSMC is exploring a joint venture where they'd operate Intel's factories, even pitching the idea to AMD, Nvidia, Broadcam, and Qualcomm, according to Reuters. (They add that Intel "reported a 2024 net loss of $18.8 billion, its first since 1986," and talked to multiple sources "familiar with" talks about Intel's future). Multiple companies have expressed interest in buying parts of Intel, but two of the four sources said the U.S. company has rejected discussions about selling its chip design house separately from the foundry division. Qualcomm has exited earlier discussions to buy all or part of Intel, according to those people and a separate source. Intel board members have backed a deal and held negotiations with TSMC, while some executives are firmly opposed, according to two sources.
"They say Lip-Bu Tan is the best hope to fix Intel — if Intel can be fixed at all," writes the Wall Street Journal: He brings two decades of semiconductor industry experience, relationships across the sector, a startup mindset and an obsession with AI...and basketball. He also comes with tricky China business relationships, underscoring Silicon Valley's inability to sever itself from one of America's top adversaries... [Intel's] stock has lost two-thirds of its value in four short years as Intel sat out the AI boom...

Manufacturing chips is an enormous expense that Intel can't currently sustain, say industry leaders and analysts. Former board members have called for a split-up. But a deal to sell all or part of Intel to competitors seems to be off the table for the immediate future, according to bankers. A variety of early-stage discussions with Broadcom, Qualcomm, GlobalFoundries and TSMC in recent months have failed to go anywhere, and so far seem unlikely to progress. The company has already hinted at a more likely outcome: bringing in outside financial backers, including customers who want a stake in the manufacturing business...

Tan has likely no more than a year to turn the company around, said people close to the company. His decades of investing in startups and running companies — he founded a multinational venture firm and was CEO of chip design company Cadence Design Systems for 13 years — provide indications of how Tan will tackle this task in the early days: by cutting expenses, moving quickly and trying to turn Intel back into an engineering-first company. "In areas where we are behind the competition, we need to take calculated risks to disrupt and leapfrog," Tan said in a note to Intel employees on Wednesday. "And in areas where our progress has been slower than expected, we need to find new ways to pick up the pace...."

Many take this culture reset to also mean significant cuts at Intel, which already shed about 15,000 jobs last year. "He is brave enough to adjust the workforce to the size needed for the business today," said Reed Hundt, a former Intel board member who has known Tan since the 1990s.

America's Vice President "expressed confidence Friday that a deal to sell TikTok and keep the social media app running in the U.S. would largely be in place by an April deadline," reports NBC News. (Specifically the Vice President said "There will almost certainly be a high-level agreement that I think satisfies our national security concerns, allows there to be a distinct American TikTok enterprise.")

The article adds that TikTok owner ByteDance "has not publicly confirmed negotiations with any potential U.S. buyer, nor has it confirmed its willingness to sell TikTok to a U.S. bidder." But ByteDance "favors" a deal with Oracle, according to an X.com post on Thursday from tech-publication The Information.

And today Politico adds that Oracle "is accelerating talks with the White House on a deal to run TikTok, though significant concerns remain about what role the app's Chinese founders will play in its ongoing U.S. operation, according to three people familiar with the discussions." [Oracle's discussions are happening] amid ongoing warnings from congressional Republicans and other China hawks that any new ownership deal — if it keeps TikTok's underlying technology in Chinese hands — could be only a surface-level fix to the security concerns that led to last year's sweeping bipartisan ban of the app. Key lawmakers, including concerned Republicans, are bringing in Oracle this week to discuss the possible deal and rising national security concerns, according to four people familiar with the meetings. One of the three people familiar with the discussions with Oracle said the deal would essentially require the U.S. government to depend on Oracle to oversee the data of American users and ensure the Chinese government doesn't have a backdoor to it — a promise the person warned would be impossible to keep.

"If the Oracle deal moves forward, you still have this [algorithm] controlled by the Chinese...."

The data security company HaystackID, which serves as independent security inspectors for TikTok U.S., said in February that it has found no indications of internal or external malicious activity — nor has it identified any protected U.S. user data that has been shared with China.