Microsoft secures approval to supply advanced Nvidia AI chips to the UAE, despite Trump asserting the US would restrict exports of cutting-edge technology abroad.
Microsoft will ship more than 60,000 of Nvidia’s most advanced artificial intelligence chips to the United Arab Emirates (UAE), under a US government-approved licensing agreement designed to balance national security with global tech collaboration.
The announcement comes shortly after President Donald Trump stated in a high-profile “60 Minutes” interview that the United States would not export the most sophisticated AI chips to other countries. “We will not let anybody have them other than the United States,” Trump said, when asked about potential sales to China. His comments seemed to cast doubt on the scale of US chip distribution abroad.
However, Microsoft’s deal, approved by the US Commerce Department in September 2025, sheds new light on Washington’s approach—especially in regions seen as strategic partners. The deal authorizes the shipment of Nvidia’s GB300 Grace Blackwell chips, among the world’s most high-performance AI processors, under what Microsoft described as “stringent safeguards.”
Those chips will support data centers in the UAE, as part of a wider $15.2 billion investment by Microsoft in the country’s tech infrastructure and digital transformation. The software giant has already deployed 21,000 Nvidia GPUs in the UAE through licenses granted under former President Joe Biden, company executives said.
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The UAE has emerged in recent years as a key player in global energy, finance, and now, AI development. The Gulf nation has pledged to invest an estimated $1.4 trillion in US-based energy and artificial intelligence projects—an amount that dwarfs its annual GDP of roughly $540 billion. The deal is being framed by both sides as beneficial for security and innovation.
Yousef Al Otaiba, the UAE ambassador to the US, said the agreement sets a “new gold standard” for responsible access to AI technology, emphasizing that the arrangement includes strict governance of data use, model training, and chip access.
Microsoft, which maintains close ties with AI research firms such as OpenAI and Anthropic, said the chips will support the development and deployment of advanced machine learning tools in the UAE. “We’re using these GPUs to provide access to AI models from OpenAI, Anthropic, open-source providers, and Microsoft itself,” the company said in a statement.
The deal, though approved, reflects growing complexity in US export controls around AI. While the Biden administration tightened chip export restrictions on China, Washington appears prepared to approve carefully structured deals with allies—so long as safeguards stay in place.
The UAE shipment underscores how the global race for AI dominance is testing long-standing norms in technology trade and national security.
