AsianFin— The U.S. government is considering a major deal to export hundreds of thousands of AI chips to artificial intelligence companies in the United Arab Emirates and Saudi Arabia, according to sources familiar with the matter.

The potential agreement would allow Emirati AI firm G42 to acquire large quantities of U.S.-designed chips under limited regulatory oversight. Part of the chips would support G42’s collaboration with U.S.-based OpenAI, while the remainder would be used for G42’s own initiatives. Negotiations are being led by David Sacks, the White House’s senior advisor on AI and cryptocurrency, who is currently engaging with both G42 executives and UAE officials.

In parallel, two additional sources revealed that the Trump administration is expected to announce a similar deal with Saudi Arabia later this week. Under the agreement, the Saudi government and its newly established AI company, Humain, would receive tens of thousands of semiconductor chips, along with technical support from U.S. chip giants Nvidia and AMD.

The discussions come ahead of former President Donald Trump’s planned visit to Saudi Arabia, Qatar, and the UAE from May 13 to 16. If finalized, the deals would mark a significant expansion of U.S. AI technology into the Gulf region, highlighting the growing importance of strategic tech diplomacy in the global AI race.