Bloomberg reported on Monday that the Biden administration is privately discussing restricting sales of Nvidia and AMD's advanced AI chips to some Persian Gulf countries on national security grounds. The restrictions could cap export permits to certain countries, such as Saudi Arabia and the United Arab Emirates, which have invested heavily in AI data centers.
The White House increasingly sees America's AI chips as a key advantage on the world stage. Last year, the United States banned the sale of Nvidia and AMD's advanced AI chips to China and placed export restrictions on 40 countries around the world to close loopholes that could allow AI chips to indirectly enter China.
Recent reported discussions may indicate that U.S. officials are concerned about the Persian Gulf's global influence on the AI industry. This year, Saudi Arabia is reportedly planning to launch a $40 billion fund to invest in AI technology, while OpenAI is vying for UAE-backed participation in its latest $6.6 billion funding round. It is reported that the company has held discussions with investment funds that will