The United States has been granted the qualification to export chips to artificial intelligence companies in Saudi Arabia and the United Arab Emirates

On November 19th local time, the US Department of Commerce announced that it has authorized the export of advanced semiconductors from the United States to two artificial intelligence companies in Saudi Arabia and the United Arab Emirates. According to information from the US Department of Commerce, these two companies will respectively receive AI chips with computing power equivalent to 35,000 NVIDIA (NVDA.US) GB300 processors. These are the most advanced products of the chip manufacturer. The US Department of Commerce confirmed the previous report on Wednesday and pointed out that the transaction is subject to the two companies meeting "strict security and reporting requirements". The two companies are the state-owned artificial intelligence company G42 in Abu Dhabi and the Saudi government-backed artificial intelligence enterprise Humain. The export approval comes with strict security and reporting requirements, aiming to prevent sensitive technologies from being transferred to foreign hostile countries. Specific security conditions are not disclosed, but sources close to the matter have revealed that they include multiple technical control clauses.

The approval of the US to export chips to artificial intelligence companies in Saudi Arabia and the United Arab Emirates has significant implications for the technology sector. Firstly, it has an impact on technology in the Middle East. By purchasing NVIDIA Blackwell (GB300s) chips, Saudi Arabia and the United Arab Emirates will significantly enhance the computing power of their data centers. For example, the 500-megawatt data center planned by Saudi Humain and the "Stargate UAE" project jointly established by G42 and Microsoft both rely on high-end chips for support. These facilities will provide the underlying computing power support for smart cities, autonomous driving, and medical diagnosis, promoting the transformation of the Middle East from an oil-based economy to a technology-driven economy. The "2030 Vision" of Saudi Arabia and the "AI Strategy 2031" of the United Arab Emirates both regard artificial intelligence as a core sector. This chip import will help the two countries cultivate local AI talents, optimize water resource management, and promote breakthroughs in medical diagnosis. The Middle Eastern countries, with their low-cost fossil fuel electricity and renewable energy plans, provide stable energy guarantees for high-energy-consuming AI data centers.

Secondly, it has an impact on the global technology landscape. The US, through chip exports, strengthens its relations with its Middle Eastern allies and hedges against the influence of other major powers. For example, during the visit of the Saudi Crown Prince to Washington, a technology cooperation agreement was reached, and chips became the "currency of the new era diplomacy". At the same time, US companies (such as Microsoft and Oracle) were granted the right to use key chips in the UAE projects, forming a benefit exchange and maintaining geopolitical influence. Although the US has relaxed export restrictions, it has attached strict security clauses, such as embedding tracking modules and restricting the transportation of chips to third countries, reflecting the delicate balance between technological hegemony and geopolitics. This "open and preventive" attitude may trigger concerns from other countries about technological security, promoting the diversification of global semiconductor supply chains. The surge in demand from Middle Eastern countries will impact the global semiconductor market. Asian manufacturers may accelerate capacity expansion or technological upgrades to cope with the competition from Middle Eastern orders. Moreover, European AI laboratories are concerned about talent loss, and the global flow of technology talents may be affected by the investment boom in the Middle East.

Thirdly, it has an impact on technological ethics and sustainable development. The export of high-end chips may intensify regional technological competition and trigger the "sovereign AI" competition. For example, Saudi Arabia and the United Arab Emirates, through large-scale purchases of chips, are attempting to gain the upper hand in the AI field, which may prompt other countries to follow suit, forming a technological arms race situation. The high energy consumption characteristics of AI data centers and the demand for energy structure transformation in the Middle East form a contradiction. Although the Middle Eastern countries plan to expand renewable energy generation, they still rely on fossil fuels in the short term, which may exacerbate the carbon emission problem and raise questions from the international community about the balance between technological development and environmental protection. Chip imports can quickly enhance computing power, but innovation capabilities need to be cultivated internally. Middle Eastern countries need to be vigilant against the "technology introduction trap" and avoid excessive reliance on external technologies. They should increase investment in research and development and build an independent technological system to achieve long-term technological competitiveness.

In conclusion, the United States' approval of the export of high-end AI chips to Saudi Arabia and the United Arab Emirates not only injects strong impetus into the upgrade of computing infrastructure and the transformation of the technology industry in the Middle East region, promoting its acceleration towards a technology-driven economy, but also profoundly reshapes the global chip supply chain pattern and triggers the regional restructuring of technological industry competition and cooperation. In the future, how to seek a balance between technological openness and security control will become a key issue affecting the stability and sustainable development of the global technological ecosystem.