October 9, 2025
The U.S. Commerce Department has granted export licenses for several billion dollars’ worth of Nvidia AI chips to the UAE under a bilateral AI agreement, Bloomberg reports.
The United States has approved export licenses for several billion dollars of Nvidia AI chips destined for the United Arab Emirates, according to a Bloomberg News report citing persons familiar with the matter. Reuters
These licenses were issued by the Commerce Department’s Bureau of Industry and Security (BIS) under the terms of a bilateral artificial intelligence agreement established in May 2025. Reuters The purpose of the deal is to support the UAE’s construction of advanced data centers that can train large AI models, leveraging Nvidia’s hardware. Reuters
According to Reuters, the authorization aligns with a broader plan that would allow the UAE to import up to 500,000 Nvidia AI chips annually starting in 2025. Reuters That ceiling was part of earlier agreements and may extend through 2027 or even to 2030 under favorable conditions. Reuters
When asked for comment, Nvidia declined to respond. Meanwhile, U.S. government sources affirmed that the Commerce Department remains committed to this AI partnership. Reuters
The approvals mark a key milestone in U.S.–UAE tech collaboration, especially in AI infrastructure.
The UAE’s AI ambitions hinge heavily on access to advanced chips; delays or denials could hamper its capabilities.
This move suggests Washington is willing to permit selective exports of high-end tech while maintaining oversight.
It also counters earlier delays and frustration expressed by Nvidia’s leadership over regulatory hold-ups. Reuters+2Tom's Hardware+2
National security and export control concerns will remain under scrutiny.
Any geopolitical tensions or policy shifts in Washington could affect future export approvals.
For Nvidia and UAE tech firms, the timing and consistency of these approvals will be critical in project planning.
