The U.S. government is nearing a decision on whether to approve Nvidia chip sales to Saudi Arabia, a deal that could accelerate AI projects in the region while impacting the kingdom’s relationship with China, which is under increased scrutiny.
US Evaluating Nvidia Chip Sales to Saudi Arabia
As reported by Semafor on Wednesday, citing sources familiar with the situation (as cited by Reuters), the U.S. government is contemplating authorizing Nvidia to sell cutting-edge chips to Saudi Arabia.
This would enable the kingdom to train and operate its most advanced artificial intelligence models.
According to the report, sales of the chips were a major, albeit unofficial, subject at GAIN, the global AI summit in Saudi Arabia.
Saudi Arabia Aims to Meet US Security Standards
Several summit attendees, including employees of the Saudi Data and AI Authority, informed Semafor that the kingdom is striving to meet U.S. security standards in order to speed up the purchase of the chips.
The sale of artificial intelligence chips to the United Arab Emirates and other Middle Eastern countries is now subject to a licencing requirement, as part of the new restrictions put in place last year by the Biden administration in an effort to limit China's access to these chips.
According to Yahoo Finance, the Saudi government is reportedly anticipating the shipping of Nvidia H200s, the company's most sophisticated CPUs. One of the first multimodal platforms to employ the H200 was OpenAI's GPT-4o, which could have natural-sounding conversations and respond to both text and images.
Saudi Arabia Cuts Ties with Chinese Firms but Leaves Door Open
Sources familiar with Saudi policy told the media that the kingdom has taken measures to reduce its ties to Chinese companies but has left the door open to China in the event that the US cuts off Saudi Arabia's access to cutting-edge U.S. semiconductors.
A representative from Nvidia chose not to address the story.
"Export control decisions regarding licenses, entity listings and any future policy actions are the subject of a rigorous interagency process including the Departments of Commerce, State, Defense and Energy," the US Department of Commerce stated, declining to comment on specifics.


SK Hynix Shares Hit Record High as AI Memory Demand Fuels Semiconductor Rally
China’s AI Sector Pushes to Close U.S. Tech Gap Amid Chipmaking Challenges
Trump Considers Starlink to Restore Internet Access in Iran Amid Protests
Trump Signs Executive Order to Protect Venezuelan Oil Revenue Held in U.S. Accounts
DHS Sends Hundreds More Officers to Minnesota After ICE Shooting Sparks Nationwide Protests
China Reviews Meta’s $2 Billion AI Deal With Manus Amid Technology Control Concerns
Trump Tightens Pressure on Cuba as Venezuelan Oil Supplies Halt
Russia Fires Oreshnik Hypersonic Missile Near NATO Border in Escalation of Ukraine War
Elon Musk Says X Will Open-Source Its Algorithm Amid EU Scrutiny
Anthropic Launches HIPAA-Compliant Healthcare Tools for Claude AI Amid Growing Competition
Nvidia Appoints Former Google Executive Alison Wagonfeld as First Chief Marketing Officer
Aktis Oncology Prices Upsized IPO at $18, Raising $318 Million in Major Biotech Debut
Bangladesh Signals Willingness to Join International Stabilization Force in Gaza
Chevron Sees Path to Boost Venezuela Oil Output by 50% After Trump Administration Talks
Norwegian Nobel Institute Clarifies Nobel Peace Prize Rules After Trump Remarks
Supreme Court to Hear Cisco Appeal on Alien Tort Statute and Human Rights Liability
U.S. Lawmakers Split Over Military Action Against Iran Amid Rising Unrest 



