Microsoft Ships Nvidia AI Chips to UAE, Boosting AI Ambitions

Microsoft Ships Nvidia AI Chips to UAE, Boosting AI Ambitions

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Microsoft has announced that it will be shipping advanced artificial intelligence chips from Nvidia to the United Arab Emirates, following the approval of licenses by the U.S. Commerce Department. This significant deal, which gained approval in September, allows for the export of more than 60,000 Nvidia chips, including the highly sophisticated GB300 Grace Blackwell chips, intended for deployment in data centers across the UAE.

This arrangement seems to contrast with recent comments made by former President Donald Trump during a “60 Minutes” interview, in which he stated that the most advanced AI chips would not be exported from the U.S. Trump asserted that only the United States would retain access to these cutting-edge technologies, particularly in reference to exports involving China.

The UAE’s acquisition of these AI chips is linked to its commitment to invest an impressive $1.4 trillion into U.S. energy and AI-related initiatives. This investment is notably significant, given that the UAE’s total annual GDP is approximately $540 billion. UAE Ambassador to the U.S., Yousef Al Otaiba, emphasized that this deal is creating a new “Gold Standard” for securing access to AI models, chips, and data.

Microsoft’s shipment of Nvidia chips is part of a broader strategy involving a planned $15.2 billion investment in technology within the UAE, a region recognized for its high per-capita usage of AI technologies. Previously, Microsoft had already procured over 21,000 Nvidia graphics processor chips under licenses that were approved during the Biden administration.

These graphics processors are utilized to grant access to various advanced AI models from notable providers such as OpenAI and Anthropic, alongside offerings from Microsoft itself. This initiative not only reinforces the UAE’s technological ambitions but also underscores Microsoft’s commitment to expanding its influence and capabilities in the region’s burgeoning AI landscape. Through these efforts, there is a hopeful future for enhanced AI capabilities and innovation in the UAE, positioning it as a key player in the global technology market.

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