On January 12, 2026, the U.S. House of Representatives overwhelming passed (369-22) the Remote Access Security Act, modernizing U.S. export controls to address foreign adversaries’ remote access to controlled technologies through cloud computing services.  

Currently, the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) does not consider the provision of cloud computing services to be exports. If passed into law, the bill (H.R. 2683) would modify the Export Control Reform Act of 2018 to authorize BIS to regulate the remote access of items, in addition to the export, reexport, and transfer of items, as well as issue licenses and impose penalties related to remote access of export controlled items.

The bill, sponsored by Rep. Michael Lawler (R-NY-17), directly responds to concerns that Chinese entities have exploited cloud services to evade U.S. export controls on advanced semiconductors and AI technologies by accessing computing power remotely through offshore data centers. It would apply U.S. export control restrictions to remote access and cloud-based exposure of controlled items—including advanced AI chips and semiconductors. In addition, the bill could significantly disrupt cloud computing companies’ compliance operations, which have been based on the understanding that the provision of cloud computing power does not qualify as an export for nearly twenty years.

The Remote Access Security Act would not become law until passage in the Senate and signature by the President. Senators David McCormick (R-PA), Ron Wyden (D-OR), Tom Cotton (R-AR), and Chris Coons (D-DE) and the sponsors and cosponsors of the Senate version (S. 3519).

Key Takeaways

  • Companies should expect increased regulatory scrutiny of cloud service arrangements involving foreign users, particularly those with potential ties to China. Enhanced due diligence, customer verification, and transaction-level documentation procedures will be necessary for compliance.
  • The policy implications of this bill extend beyond traditional hardware manufacturers to cloud service providers, data center operators, and technology platforms offering remote computing capabilities.
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Photo of Scott Wise Scott Wise

Scott Wise is a partner in Crowell’s Denver office and a member of the firm’s International Trade Group. His practice focuses on export controls, economic sanctions, and outbound investment issues across industries, with an emphasis on emerging technologies and the technology industry.

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Scott Wise is a partner in Crowell’s Denver office and a member of the firm’s International Trade Group. His practice focuses on export controls, economic sanctions, and outbound investment issues across industries, with an emphasis on emerging technologies and the technology industry.

Working with established and start-up tech companies, Scott helps clients to develop unique compliance programs that are responsive to the full range of regulations governing the exports of goods and services. He also trains and counsels clients on compliance with relevant export control regulations such as the International Traffic in Arms Regulations (ITAR) and the Export Administration Regulations (EAR). In addition to technology companies, Scott advises companies in the aerospace and aviation, automotive, chemical, defense, electronics, energy, engineering, financial and insurance, manufacturing, professional services, security, and transportation industries, among others.

Prior to joining Crowell, Scott was the Assistant General Counsel for Global Trade at a multinational technology company where he led a consolidated team focusing on export controls, economic sanctions, and outbound investment. He was the lead export controls and economic sanctions attorney for key business groups ranging from emerging technologies, such as artificial intelligence and quantum computing, to aerospace and defense contracts, and to commercial software and gaming. In that role, Scott developed the company’s compliance approach to new regulations governing the export of various  new technologies, including AI, integrated circuits and chips, and quantum computing, which involved coordination between senior government officials and business leaders. Scott also has prior law firm experience in the international trade practice area.

Photo of Jeremy Iloulian Jeremy Iloulian

Recognized as a “Rising Star” in International Trade by Super Lawyers, Jeremy Iloulian advises clients globally on complex cross-border regulatory, compliance, investigative, and transactional matters and policy developments that touch U.S. national security, international trade, and foreign investment, including those relating to

Recognized as a “Rising Star” in International Trade by Super Lawyers, Jeremy Iloulian advises clients globally on complex cross-border regulatory, compliance, investigative, and transactional matters and policy developments that touch U.S. national security, international trade, and foreign investment, including those relating to U.S. export controls (EAR and ITAR), economic sanctions, anti-boycott laws, the Committee on Foreign Investment in the United States (CFIUS), and various national security controls on fundamental research and supply chains.

Jeremy has extensive experience counseling U.S. and non-U.S. clients, including public and private companies, private equity sponsors, and nonprofits spanning a multitude of industries, including aerospace and defense, energy, entertainment, fashion, food and beverage, health care, infrastructure, technology, telecommunications, and transportation. He provides strategic guidance on managing risks for dealings in high-risk jurisdictions such as China, Russia, Venezuela, and the Middle East, among other countries and regions. He regularly advocates on behalf of such clients before the U.S. Bureau of Industry and Security (BIS), Directorate of Defense Trade Controls (DDTC), Office of Foreign Assets Control (OFAC), Bureau of Economic Affairs (BEA), Census Bureau, Department of Energy, and Nuclear Regulatory Commission (NRC).

Additionally, Jeremy has previously counseled on, presented on, and published research related to international environmental law, specifically the United Nations Convention on the Law of the Sea (UNCLOS) and Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES).

Prior to and during law school, Jeremy interned at multiple government agencies, including the United Nations, the U.S. State Department, and the Iraqi Embassy in Washington, D.C.

Dmitry Bergoltsev

Dmitry Bergoltsev is a Senior International Trade Specialist I in Crowell & Moring’s Washington, D.C., office. With professional fluency in Russian and Mandarin, Dmitry bridges language and cultural barriers, offering valuable insights for clients navigating complex global trade and regulatory matters. He works…

Dmitry Bergoltsev is a Senior International Trade Specialist I in Crowell & Moring’s Washington, D.C., office. With professional fluency in Russian and Mandarin, Dmitry bridges language and cultural barriers, offering valuable insights for clients navigating complex global trade and regulatory matters. He works closely with attorneys to develop practical solutions for clients facing challenges before the Office of Foreign Assets Control (OFAC), U.S. Customs and Border Protection (CBP), the Bureau of Industry and Security (BIS), and other federal agencies. Dmitry’s key areas of focus include advising clients on sanctions and export controls compliance, U.S. import and export regulations, and supply chain due diligence, with particular attention to the geopolitical and regulatory risks our clients face when operating across global markets.