White House weighs large chip sale to Emirati AI firm G42, NY Times says

The White House is weighing a deal that could send hundreds of thousands of U.S.-made AI chips to G42, an Emirati AI company that the U.S. has scrutinized previously for its links to China, the New York Times’ Ana Swanson and Tripp Mickle report, citing three people familiar with the discussions. Under a previous agreement tot sell chips to G42 in 2024, Microsoft (MSFT) managed the chips to train and develop AI models, and G42 had permission to sell Microsoft services using those semiconductors, the authors say. In addition, the Trump administration is expected to announce an agreement this week with officials in Saudi Arabia, in a deal that would give the Saudi government and its AI company Humain access to tens of thousands of chips and tech support from Nvidia (NVDA) and AMD (AMD), the authors note.