US Approves Nvidia Chip Exports to UAE in New AI Partnership
The United States has approved billions of dollars’ worth of Nvidia chip exports to the United Arab Emirates.
According to Bloomberg News, this approval follows a major artificial intelligence partnership signed between both countries in May.
The US Commerce Department’s Bureau of Industry and Security issued Nvidia the export licenses. These permits support the UAE’s plan to build advanced data centers essential for AI model development. The decision highlights growing cooperation between Washington and Abu Dhabi in the tech sector.
In return, the UAE committed to investing an equivalent amount in US-based projects. This reciprocal investment aims to balance trade and create a foundation for long-term economic collaboration.
A spokesperson for the Commerce Department said the agency remains “fully committed to the transformational US-UAE AI partnership.” Nvidia declined to comment on the report.
AI Deal Strengthens Gulf Ties
The agreement allows the UAE to import up to 500,000 Nvidia AI chips per year, starting in 2025. The deal runs through 2027, with a possible extension until 2030.
Industry experts say this move will help the UAE become a regional hub for AI innovation and data infrastructure. It will also enable US companies to strengthen their influence across the Gulf’s fast-growing tech ecosystem.
President Donald Trump has prioritized stronger relations with Gulf countries. During his May visit, he announced $600 billion in commitments from Saudi Arabia, including large chip purchases from Nvidia, AMD, and Qualcomm.
This growing collaboration shows how the Gulf’s digital ambitions align with America’s push for global AI leadership.
As a result, the US-UAE deal marks a significant milestone in expanding technological cooperation, creating jobs, and fueling digital transformation across borders.
Both nations now view AI as a key driver of economic progress. The partnership reinforces shared goals of innovation, investment, and sustainable growth in the digital era.

