The report highlights the strategic advantage of the US in the global AI technology race, which is largely due to its dominance in semiconductor technology. The US semiconductor industry is responsible for much of the critical silicon powering AI today. However, other countries such as China are investing heavily to close the gap. The report recommends that the US government and industry deepen their partnership to sustain and strengthen this essential leadership position in AI semiconductor technology. The report suggests that the government should pursue several actions, including funding precompetitive basic research for AI hardware, developing the AI workforce, promoting open data policies, mitigating potential undesirable impacts of AI, and protecting security and privacy of sensitive data.