The US government has approved the export of advanced artificial intelligence chips to a Microsoft-operated facility in the United Arab Emirates (UAE) as part of its partnership with Emirati AI firm G42. The move comes after Microsoft invested $1.5 billion in G42 earlier this year, giving the US company a minority stake and board seat.
The deal was scrutinized due to concerns that G42 could transfer powerful US AI technology to China. Lawmakers asked for a US assessment of G42’s ties to the Chinese Communist Party, military, and government before advancing the Microsoft deal.
Under the approved export license, Microsoft must prevent access to its UAE facility by personnel from nations under US arms embargoes or those on the US Entity List, including individuals physically in China, the Chinese government, or personnel working for any organization headquartered in China.
The US Commerce Department did not comment on the report. However, G42 stated it was actively working with US partners and the UAE’s government to comply with AI development and deployment standards.
Key stakeholders holding stakes in G42 include Abu Dhabi sovereign wealth fund Mubadala Investment Company, the UAE’s ruling family, and US private equity firm Silver Lake. The company’s chairman is also the UAE’s national security advisor and the brother of the UAE’s president.
Source: https://www.reuters.com/technology/artificial-intelligence/advanced-ai-chips-cleared-export-uae-under-microsoft-deal-axios-reports-2024-12-07