US Approves Nvidia Chip Sales to UAE
According to Bloomberg News, the US has approved some Nvidia UAE shipments. Bloomberg News story on Wednesday, the US has authorised Nvidia (NVDA.O) to export tab chips worth several billion dollars to the United Arab Emirates.
According to the article, which cited persons familiar with the situation, the Nvidia export permits were recently granted by the Commerce Department’s Bureau of Industry and Security in accordance with the conditions of a bilateral artificial intelligence agreement negotiated in May.
The agreement would encourage the UAE to build data centres that are essential for creating AI models. The permission came after the UAE made specific plans for a reciprocal amount of investment on American soil, the article added.
Regarding the report, Nvidia chose not to respond.”The Commerce Department is fully committed to the transformational U.S.-UAE AI partnership deal,” a senior official told Bloomberg.
Representatives for the UAE could not be reached immediately, and Reuters did not immediately receive a response from the White House or the U.S. Department of Commerce.
According to a May Reuters story, the United States and the Emirates have reached an initial agreement that would permit the importation of 500,000 of Nvidia’s most cutting-edge AI processors annually beginning in 2025.
The deal was in effect until 2027 at the latest, but it might last until 2030. Enhancing relations with some Gulf nations has been a top priority for U.S. President Donald Trump’s administration.
While on a Gulf tour in May, Trump stated Saudi Arabia had committed $600 billion, including agreements to purchase significant amounts of chips from Nvidia, Advanced Micro Devices (AMD.O), and Qualcomm (QCOM.O).
SOURCE: Reuters
