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Could Using Cheaper Chinese AI Lead to Costly Congressional Scrutiny?

By David Hirsch, Garen S. Marshall, Casey Erin Lucier, John S. Moran, Emily Erb Kelley & Lauren Devendorf on September 14, 2026
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U.S. companies using AI models developed by companies based in the People’s Republic of China, including DeepSeek, Moonshot AI or MiniMax, should be aware of potential congressional scrutiny in this Congress and the next. Two House committees are conducting a joint investigation into the national security, cybersecurity and economic security implications of U.S. companies’ adoption of PRC-developed AI models, including low-cost, open-weight models and models accessible through application programming interfaces. The House panels have already expressed interest in investigating actions at Anysphere, Airbnb and DoorDash. Read on to learn more about expected congressional interest in corporate use of PRC-developed AI models.

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Photo of David Hirsch David Hirsch

Dave is a highly respected member of the securities enforcement and regulatory counseling practice group at McGuireWoods, where he plays a key role shaping the strategic direction of the firm’s securities enforcement initiatives. Before joining McGuireWoods, Dave was Chief of the Crypto Assets…

Dave is a highly respected member of the securities enforcement and regulatory counseling practice group at McGuireWoods, where he plays a key role shaping the strategic direction of the firm’s securities enforcement initiatives. Before joining McGuireWoods, Dave was Chief of the Crypto Assets and Cyber Unit in the SEC Division of Enforcement, and prior to that served as enforcement counsel to SEC Commissioner Crenshaw. He is a recognized expert and frequent speaker with a robust practice that spans a wide array of complex regulatory and enforcement matters, particularly those involving crypto and cyber.

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Photo of Garen S. Marshall Garen S. Marshall

Garen Marshall, a former federal prosecutor and United States Navy special forces combat veteran, is a member of the firm’s Government Investigations and White Collar Litigation Department. Garen’s practice leverages his years in the private sector and his tenure at the United States…

Garen Marshall, a former federal prosecutor and United States Navy special forces combat veteran, is a member of the firm’s Government Investigations and White Collar Litigation Department. Garen’s practice leverages his years in the private sector and his tenure at the United States Attorney’s Office for the Eastern District of New York, where he served in the Office’s National Security and Cybercrime Unit and the Organized Crime and Gangs Unit. Garen specializes in financial fraud and corruption investigations across a range of industries, including banking, private equity, healthcare, financial technology, and cryptocurrency. With extensive experience prosecuting and investigating cases related to wire and securities fraud, honest services violations, money laundering, and racketeering, Garen brings a formidable skill set to the table.

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Photo of John S. Moran John S. Moran

John Moran is a member of the firm’s nationally recognized Government Investigations and White Collar Litigation department. A former senior official at the U.S. Department of Justice (DOJ) and the White House and an experienced litigator and counselor, John draws on his broad…

John Moran is a member of the firm’s nationally recognized Government Investigations and White Collar Litigation department. A former senior official at the U.S. Department of Justice (DOJ) and the White House and an experienced litigator and counselor, John draws on his broad experience from private practice and government service to advise and represent clients in government enforcement, congressional investigations, high-stakes civil disputes, and regulatory litigation. He also serves as co-chair of the firm’s Congressional Investigations practice, representing both companies and individuals in congressional investigations and hearings and is a member of the firm’s Appeals & Issues group.

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Photo of Emily Erb Kelley Emily Erb Kelley

Emily uses the skills developed during her clerkship in the Eastern District of Virginia, combined with her experience on Capitol Hill, to serve clients in connection with government investigations and white collar defense.

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Photo of Lauren Devendorf Lauren Devendorf

Lauren is a lawyer in the firm’s Richmond office who focuses on government investigations and white collar litigation. Before joining McGuireWoods, she served as a law clerk to the Honorable M. Hannah Lauck of the United States District Court for the Eastern District…

Lauren is a lawyer in the firm’s Richmond office who focuses on government investigations and white collar litigation. Before joining McGuireWoods, she served as a law clerk to the Honorable M. Hannah Lauck of the United States District Court for the Eastern District of Virginia. She also practiced law at a large international law firm in New York City and interned for the Antitrust Bureau of the New York State Attorney General’s Office.

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  • Posted in:
    Privacy & Data Security
  • Blog:
    Password Protected
  • Organization:
    McGuireWoods LLP
  • Article: View Original Source

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