The government will set guidelines by the end of March next year for preventing technology leaks from universities that conduct research with foreign firms, sources close to the matter said Wednesday. The move comes as the United States and China grow cautious about advanced technologies such as artificial intelligence being converted for military use. While Japan already regulates the disclosure of sensitive technologies and products by the nation's state organizations and companies to overseas firms under a foreign exchange and foreign trade law, university laboratories have been managing infrequent arrangements on their own, leading some experts to voice concerns about the risk of information leaks. The envisioned guidelines would require universities and other research institutions to set regulations on joint projects involving foreign entities. They will be based on the comprehensive innovation strategy adopted by the Cabinet in 2018 aimed at promoting university research on AI, biotechnology and other leading technologies.

SHANGHAI (Reuters) - U.S. technology giants, facing tighter content rules in China and the threat of a trade war, are targeting an easier way into the world's second largest economy - artificial intelligence. Google (GOOGL.O), Microsoft Inc (MSFT.O) and Amazon Inc (AMZN.O) showcased their AI wares at a state-backed forum held in Shanghai this week against the backdrop of Beijing's plans to build a $400 billion AI industry by 2025. China's government and companies may compete against U.S. rivals in the global AI race, but they are aware that gaining ground won't be easy without a certain amount of collaboration. "Hey Google, let's make humanity great again," Tang Xiao'ou, CEO of Chinese AI and facial recognition unicorn Sensetime, said in a speech on Monday. Amazon and Microsoft announced plans on Monday to build new AI research labs in Shanghai.

"Soft language" in a new agreement governing international armed drone exports could give foreign companies an advantage over U.S. industry, according to analysts. The administration on Wednesday announced that 44 nations had signed a joint declaration overseeing the sale and use of armed unmanned aerial vehicles. The new document requires the countries to commit to the "responsible export" of armed UAVs and continue conversations about standards for drone use and sales, the use of drone strikes in accordance with "international law" and the effort to increase transparency. Rachel Stohl, a senior associate at the Stimson Center, said U.S. companies are often subject to higher standards than their international competitors with respect to drone exports. "This declaration could continue [to] result in other countries and foreign companies having an edge over U.S. companies for drone exports," Stohl said via email.