• The UAE and US have signed a significant AI agreement during Trump's visit.
• This deal enables the UAE to build the largest AI campus outside the US and access advanced AI chips.
• UAE aims to secure the import of 500,000 advanced AI chips per year starting in 2025.

The United Arab Emirates and the United States have finalized a groundbreaking AI agreement that allows the UAE to construct the largest artificial intelligence campus outside of the US. This agreement could enable the Gulf nation to access advanced AI chips, a capability previously restricted due to concerns about potential access by China. This landmark deal was formalized during US President Donald Trump's visit to Abu Dhabi and is viewed as a substantial accomplishment for the UAE, which is striving to balance its relations with the US and its significant trading partner, China, according to Reuters, Channel News Asia, and South China Morning Post.

The agreement specifies the commitment from the UAE to invest in, build, and finance US data centers that match the size and capability of those in the UAE. This includes efforts to align national security regulations closely with US standards, thereby ensuring robust protections against technology diversion. The UAE is projected to begin importing 500,000 of Nvidia's most advanced AI chips annually starting in 2025, further strengthening its ambitions in AI technology, as noted by Reuters and Reuters.

The centerpiece of this collaboration includes a vast AI campus in Abu Dhabi, covering an area of 25.9 square kilometers with a power capacity of 5 gigawatts, making it the largest facility of its kind outside the United States. The campus will be developed by Abu Dhabi's state-backed G42 and operated by American firms, thereby securing the technology under US management. This emphasis on localizing data center operations with US oversight underlines the shifting dynamics of US-China technology policies, according to South China Morning Post, Channel News Asia, and Reuters.

Experts note that the agreement reflects the Trump administration's strategy to manage AI chip exports more liberally while maintaining national security. This change aims to ensure strong collaborations with allies like the UAE, thereby constructing a strategic partnership that enables the UAE to be a significant player in AI development without compromising its trade relationships, particularly with China. Mohammed Soliman of the Middle East Institute commented, "This shift enables (the UAE) to deepen its technology partnership with the U.S. while still preserving trade ties with China," according to Channel News Asia, South China Morning Post, and Reuters.