119th (2025–2027)
H.R. 3961
H.R. 3961 prohibits the Department of Defense from signing contracts for software source code with companies that have certain ties to China. Specifically, the bill bars contracts with entities that own or fund artificial intelligence research facilities in China, that have given China access to software code they're providing to the Pentagon, or that operate data centers in China for that software. The restrictions apply to any company that has a material financial interest in these activities, including through parent companies or subsidiaries. The Secretary of Defense can waive these restrictions if deemed necessary for national security. The prohibition applies only to contracts entered into, renewed, or extended within three years of the bill's enactment, with the definition of "covered country" based on existing national defense law.