• Former President Donald Trump is working to approve large-scale exports of advanced AI chips to Saudi Arabia and the United Arab Emirates.
  • Lawmakers from key Senate and House committees warn the deals could undermine U.S. national security and technological dominance.
  • The proposed transfers involve UAE-based G42, whose partnerships with Chinese tech firms have raised regulatory red flags.

Former President Donald Trump's efforts to approve the export of advanced artificial intelligence chips to Saudi Arabia and the United Arab Emirates have triggered significant bipartisan concern in Congress, with lawmakers warning the move could compromise American strategic interests and technological leadership.

According to people familiar with the matter, the proposed agreements would involve substantial volumes of cutting-edge AI semiconductors moving from U.S. companies to Gulf nations. The scale of these potential transfers has alarmed members of Senate and House committees overseeing defense, intelligence, and foreign relations, who argue the deals could deprive U.S. developers of critical components needed for domestic AI advancement.

One company central to these discussions is UAE-based G42, a major technology player in the Gulf region that operates extensive data centers and AI systems. The company's rapid expansion and known cooperation with Chinese entities have drawn particular scrutiny from U.S. officials. "We're looking at a scenario where we could effectively offshore our frontier computing infrastructure," said one congressional aide who requested anonymity because the discussions are ongoing.

The debate comes against the backdrop of existing bipartisan U.S. policy that restricts advanced AI chip exports to China, aimed at maintaining American technological dominance and minimizing security risks. Lawmakers worry that Gulf recipients might provide indirect access to Chinese interests, potentially undermining these carefully constructed export controls.

Multiple sources on Capitol Hill described the situation as particularly sensitive given ongoing tensions with China over semiconductor technology. One senior legislative staffer working on technology export issues called the potential chip transfers "a historic American blunder in the making" if not properly constrained.

Efforts to reach representatives from G42 for comment were unsuccessful. The company's partnerships with Chinese tech firms and its role in region-wide cloud and AI initiatives have made it a focal point in the broader discussion about balancing economic opportunities with national security imperatives.

Without adequate safeguards, critics argue, the United States could find itself dependent on the Gulf region for critical technology infrastructure—a vulnerability that echoes past dependencies on foreign oil and Taiwan's semiconductor manufacturing. The long-term implications could include a significant shift of global AI infrastructure to the Middle East and reduced U.S. influence in setting international technology standards.

Congressional opposition appears to be mounting, with lawmakers from both parties emphasizing the importance of retaining AI leadership and minimizing risks associated with exporting premier technologies to geopolitically sensitive partners. Several offices are reportedly preparing legislative responses aimed at adding safeguards or potentially blocking the deals altogether.

The situation remains fluid, with ongoing discussions between congressional committees and administration officials about how to proceed. What's clear is that the debate over AI chip exports to the Gulf has moved beyond theoretical concerns to become an immediate policy challenge with significant implications for U.S. technological sovereignty.