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U.S. Approves Nvidia Chip Sale to UAE as Microsoft Invests Over $15 Billion

Microsoft has announced it will ship 60,400 Nvidia AI chips, including the advanced GB300 GPUs, to the United Arab Emirates under U.S. export licenses approved in September. This move is part of a broader deal that allows Microsoft to export these chips to support the UAE's AI ambitions, despite previous remarks by President Trump suggesting restrictions on the most advanced chips outside the U.S. The licenses enable the shipment of over 60,000 Nvidia chips, which will be used to provide access to AI models from OpenAI, Anthropic, and Microsoft itself. Nvidia's stock rose about 2% in premarket trading, and Microsoft's stock increased nearly 1%. The UAE's strategic investment includes over $15 billion by 2029, focusing on expanding AI data centers and infrastructure, with a significant portion allocated to AI and cloud projects. Microsoft’s investment also involves a $1.5 billion equity stake in AI firm G42 and over $5.5 billion in capital expenses. The UAE aims to leverage U.S. technology and its strong relations with Washington to become a global AI hub, with the country spending billions to secure access to top-tier U.S. chips and technology. Microsoft highlighted the importance of these investments for the UAE’s economic future, emphasizing trust, talent, and technology as key factors.

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