It is reported that Trump will allow Middle East AI chip transactions, and NVIDIA is expected to benefit

Zhitong
2025.05.13 13:13
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The Trump administration is close to reaching an AI chip deal with a Middle Eastern company, with NVIDIA and other semiconductor companies becoming the market focus. The agreement may be finalized during Trump's visit to the Middle East this week, allowing UAE's G42 and the newly established Humain to obtain AI chips. The Saudi Public Investment Fund founded Humain, with Crown Prince Mohammed bin Salman serving as the chairman of the board. The Trump administration will also approve a $9 billion memorandum of understanding with Saudi Arabia. Despite export controls, NVIDIA continues to collaborate with G42 to advance climate technology. NVIDIA's stock price rose 1.4% in pre-market trading

According to reports, as the Trump administration approaches an agreement with Middle Eastern companies to provide them with artificial intelligence (AI) chips, NVIDIA (NVDA.US) and other semiconductor companies became the focus of the market on Tuesday.

These agreements are expected to be reached during Trump's visit to the Middle East this week, allowing UAE-based G42 and the newly established Humain to obtain AI chips.

Earlier this week, Saudi Arabia's sovereign wealth fund—the Public Investment Fund (PIF)—officially established Humain, which will be wholly owned by the PIF. Saudi Crown Prince and Prime Minister Mohammed bin Salman will serve as the chairman of the company's board.

Reports indicate that the Trump administration is also set to approve a $9 billion memorandum of understanding signed by a U.S. company with Saudi partners to mine and process certain minerals for advanced manufacturing, energy, and defense.

Earlier this month, it was reported that the Trump administration has been considering modifying export controls on AI processors to certain Middle Eastern countries, including the UAE.

In March of this year, UAE National Security Advisor Sheikh Tahnoon bin Zayed Al Nahyan requested members of the Trump administration to allow the country to purchase more AI accelerators from companies like NVIDIA.

During Sheikh Tahnoon's visit, the UAE pledged to invest $1.4 trillion in various sectors in the U.S. over the next decade, including semiconductors, AI infrastructure, energy, and U.S. manufacturing.

In August 2023, the Biden administration restricted companies like NVIDIA from exporting advanced semiconductor products to certain Middle Eastern countries. NVIDIA issued a warning regarding these restrictions in a filing with the U.S. Securities and Exchange Commission.

Despite the export controls, NVIDIA stated last September that it was collaborating with G42 to advance climate technology and enhance global weather forecasting capabilities using AI. The two companies also announced plans to establish a new operational base and climate technology laboratory in Abu Dhabi.

As of the time of publication, NVIDIA's stock price rose 1.4% in pre-market trading

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