The huge AI deal between the U.S. and the United Arab Emirates (UAE) is reportedly on maintain earlier than it may be finalized as a consequence of nationwide safety causes.
The deal, which supplies the inexperienced mild to the UAE to purchase billions of {dollars} price of AI chips from Nvidia and different semiconductor firms, is on maintain as a consequence of issues within the U.S. that these AI chips might find yourself in China, the Wall Road Journal reported, citing nameless sources.
This potential chip smuggling was a priority when the deal was initially fashioned, in accordance with the Wall Road Journal, however officers from the UAE and Saudi Arabia assured the U.S. that they had safeguards in place.
Smuggling chips to China has turn out to be extra of a priority in latest months.
The Trump administration is rumored to be contemplating imposing chip export restrictions on Thailand and Malaysia as nicely to curb potential smuggling. Malaysia on Monday launched an export allow requirement for U.S. AI chips.
