COMPANIES

No Data Found

NEWS

No Data Found
Advertisement
UAE to build world’s largest AI campus outside US under landmark agreement post Trump visit

UAE to build world’s largest AI campus outside US under landmark agreement post Trump visit

In a landmark deal reflecting a major geopolitical and technological shift, the UAE has secured approval to build the world’s largest AI campus outside the US, with American blessing and oversight.

Business Today Desk
Business Today Desk
  • Updated May 16, 2025 7:41 AM IST
UAE to build world’s largest AI campus outside US under landmark agreement post Trump visitUS-Saudi Arabia deal: Trump lifts long-standing sanctions on Syria

The United Arab Emirates and the United States have struck a significant agreement to build the largest artificial intelligence campus outside the US, marking a pivotal moment in global tech diplomacy. The AI campus, to be built in Abu Dhabi by state-backed firm G42, will span 10 square miles and carry a massive 5-gigawatt power capacity, capable of supporting up to 2.5 million Nvidia B200 chips, according to many analysts.

Advertisement

The agreement, finalised during US President Donald Trump’s recent visit to the UAE, is a major breakthrough for the Gulf nation, which has faced restrictions on accessing US-made AI chips over concerns about its growing ties with China. The pact marks a shift in US strategy, with the Trump administration confident that American-managed data centres can safeguard sensitive technologies.

As per the US Commerce Department, American firms will operate these data centres and manage cloud services across the region. Qualcomm is also said to be working on an AI engineering hub, while Amazon Web Services will collaborate with local partners on cybersecurity and cloud adoption initiatives.

The deal includes provisions for the UAE to invest in or build equivalent-sized data infrastructure in the US, along with aligning national security regulations to prevent diversion of American-origin technology. It also allows the UAE to import up to 500,000 of Nvidia’s most advanced chips annually from 2025, according to sources familiar with the agreement.

Advertisement

Nvidia CEO Jensen Huang was spotted in Abu Dhabi in conversation with President Trump and UAE President Sheikh Mohamed bin Zayed Al Nahyan during the visit, though the company has not commented officially. The White House described the deal as containing “historic commitments” on tech security cooperation.

The move reflects Washington’s evolving posture under Trump. AI czar David Sacks recently stated in Riyadh that Biden-era chip export controls were “never intended to capture friends, allies, strategic partners.” The UAE has recently been scaling back Chinese tech infrastructure to reassure US regulators, including removing Huawei equipment and selling off China-linked stakes from G42.

Still, challenges remain. Huawei and Alibaba Cloud maintain a presence in the UAE, and reports have emerged of AI chip smuggling networks passing through the Gulf. But for now, the new AI campus signals a deepening tech alliance between Abu Dhabi and Washington, potentially redefining the power balance in global AI infrastructure.

For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine

Published on: May 16, 2025 7:41 AM IST
    Post a comment0