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These days we have seen how Donald Trump has reached a series of unique agreements with countries in the Middle East. In them the protagonists are the advanced chips of AI that the US will export to Saudi Arabia or United Arab Emirates. The problem is who will really use those chips.
Data centers in the desert. These countries announced projects for the construction of large data centers, although It is not too clear that they can complete them or that their dimension is what they promise. Even so, the agreements are very significant and promise the sale of thousands of Nvidia or AMD chips that will end up arriving in the countries of the Middle East.
Internal doubts. As they point out in Bloomberg, some members of the Donald Trump administration are trying to slow these agreements. In the opinion of these politicians, the United States has not imposed enough barriers to prevent these chips from ending where they should not.
China. According to that newspaper, agreements include clauses that theoretically They prohibit China You can access these chips through countries in the Middle East. However, US government officials believe that there have been too many details without closing and that the agreements should not be announced without being totally defined in that and the rest of the senses.
Middle Chinese relationships. The company that leads in AI in the United Arab Emirates is G42, and the problem is that this company has historical ties with Huawei. It is true that it ended theoretically cutting those ties To get close to US companies much morebut there are suspicions by some US government officials about whether there is still a relationship with China.
And there are other risks. Trump’s policies were supposed to reserve the vast majority of these most advanced AI chips for this country, but this agreement raises a danger: that Middle East nations have access to toe technology would give them an important competitive advantage.
But better to make the agreements than them. Sources close to the situation reveal that if the US does not reach these agreements, those countries – and others in the future – could reach those same agreements with China. The Asian giant has been advancing in the development of AI chips, and although it still cannot compete with those of the US, its proposals They are increasingly promising.
A strategic issue. David Sacks, advisor to AI for the White House, is the one who defends that argument the most. That would allow to avoid or at least mitigate the phenomenon of “shrinking” of the US advantage over China in advanced chips. It is something that Jensen Huang has spokenCEO of Nvidia, who believes that with all the measures to prevent China from having access to those chips what has ended up causing is that this giant activates its machinery to get rid of the dependence he had of the US.
The great winner. Meanwhile, the truth is that Nvidia will be one of the great beneficiaries of the agreement, because it has closed an agreement with Saudi Arabia valued at $ 7,000 million. The impact on Nvidia’s shares has been immediate: the company’s stock market capitalization grew by 12,000 million dollars in a single afternoon.
Image | The White House
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