A multi-billion dollar agreement to supply Nvidia's AI chips to the UAE has stalled: nearly five months after signing, it has not moved forward, sources told The Wall Street Journal. This is a source of concern for the company's CEO Jensen Huang and a number of U.S. administration officials, the sources said.

In May, the UAE pledged to invest in the U.S. economy in exchange for semiconductors, but the funds have not arrived, WSJ reported. Bloomberg wrote then that the terms of the deal provided for the purchase of up to 500 thousand advanced chips annually until 2027, and according to Reuters, there were talks on extending it until 2030. About 20% of the production was intended for the Emirati company G42, the rest - for American players building data centers in the region.

According to the newspaper, Huang and the US administration expected the agreement to symbolize Washington's new high-tech export strategy. The White House considers such agreements key to maintaining the U.S. leadership in the artificial intelligence race with China, WSJ adds.

The future of the agreement depends largely on U.S. Commerce Secretary Howard Lutnick, whose office must issue the export authorization, but he has insisted that the Emirates first meet investment commitments, sources said. Another source told the publication that Lutnick has not blocked the process. An Nvidia spokesman told the WSJ that Huang has not complained about the progress of the deal.

In the middle of Ma - simultaneously with the information about the agreement with the UAE - another major deal with Nvidia's participation was concluded: the delivery of 18 thousand of the latest Blackwell GB300 AI chips to Humain, a company financed by the Saudi Arabian state fund. It is planned to build a 500 MW data center based on these chips. Humain will develop AI models and create infrastructure, and in the future it plans to purchase hundreds of thousands of Nvidia GPUs.

On the day when it became known about these contracts, shares of chipmaker jumped by more than 6%, resulting in a capitalization of the company exceeded $3 trillion. Now Nvidia is worth more than $4.5 trillion. At the auction on October 3, its quotes added 0.4%.

This article was AI-translated and verified by a human editor

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