OpenAI Eyes UAE Data Center Amid Potential US Chip Deal

Generated by AI AgentWord on the Street
Tuesday, May 13, 2025 6:09 pm ET2min read

OpenAI is reportedly considering the construction of a new data center in the United Arab Emirates, a move that could significantly expand its business footprint in the Middle East. The agreement is not yet finalized and remains subject to change, with an announcement potentially coming during U.S. President Trump's visit to the Middle East this week. Trump is scheduled to visit the UAE on Thursday. OpenAI's CEO, Sam Altman, is currently in the region as part of a broader delegation of tech leaders. The exact scale of the data center's capacity is unclear at this point. The success of this project hinges on OpenAI's ability to import advanced

chips, which are crucial for developing and training AI models. Since 2023, the U.S. has restricted the sale of these chips to the UAE, but reports suggest that the Trump administration is close to reaching an agreement to ease these restrictions for the Gulf nation.

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