According to Reuters, Microsoft is urging the Trump administration to drop plans to ban Chinese optical transceiver modules, warning that supply chain disruptions would severely delay U.S. AI infrastructure projects. Microsoft currently has 35 U.S. data centers under construction and 134 in the planning stage, while China controls approximately 67% of the global optical transceiver market, and U.S. competitors Coherent and Lumentum lack the production scale to replace Chinese suppliers.