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Trump’s Middle East Dealmaking Could Reshape the Global AI Race

  • US President Donald Trump visited the Middle East in May 2025, announcing AI dealmaking agreements with Gulf states Saudi Arabia and the UAE.
  • The deals followed the Trump administration’s rescission of the Biden-era AI Diffusion rule that capped sales of advanced AI chips to these countries.
  • Key agreements include Saudi Arabia’s sovereign wealth fund launching AI startup Humain with chip supply deals from Nvidia, AMD, and Qualcomm, and a US-UAE partnership to build a 5-gigawatt Abu Dhabi data center.
  • Experts like David Sacks called the deals a "game-changer" in the AI race, while critics and Democrats warned they pose national security risks without clear safeguards against Chinese access.
  • The agreements represent a significant shift in the relationship between the US and Gulf countries and have the potential to influence the global AI industry, although concerns persist regarding control over technology and the geopolitical influence it may grant.
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Tech Spot broke the news in on Monday, May 19, 2025.
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