Microsoft, a tech giant, is calling for more transparency from the US government regarding export controls that have delayed the delivery of advanced AI chips to the Middle East. This issue has directly impacted Microsoft’s plans with its $1.5 billion investment in G42, the largest AI company in the United Arab Emirates.
The US has imposed restrictions on the export of AI-specialized chips to the Middle East, citing concerns about technology being leaked to China. These restrictions have put a damper on Microsoft’s plans to use G42 as a gateway to markets in Africa and Asia.
Despite these setbacks, Microsoft and G42 have announced the establishment of two new research institutes in Abu Dhabi. These institutes will focus on developing AI systems tailored for the non-Western world, with a specific emphasis on languages like Arabic and Hindi.
The US’s export control policy on AI chips has generated controversy. The US has been criticized by China for adding Chinese entities to its export control list, a move seen as an attempt to restrict Russia’s access to advanced US technology. China, in turn, has tightened its own export controls on aviation and aerospace technologies and components, citing national security. This move has led experts to warn of a potential global trade war.
The US’s stance on AI chip exports to the Middle East comes amid a broader geopolitical context. The US and Saudi Arabia are currently engaged in talks for a historic pact that could potentially lead to diplomatic ties with Israel. This development is reportedly driven by Saudi Arabia’s need for data centers and semiconductors, highlighting the strategic importance of these technologies in the region.
Microsoft’s plea for clarity on the US’s export control policy underscores the complexities of navigating the evolving global landscape of technology and geopolitics. The company’s commitment to developing AI systems for the non-Western world, despite the challenges, reflects its commitment to inclusivity and innovation in the AI space.