The United States has approved the export of several billion dollars’ worth of Nvidia’s advanced artificial intelligence (AI) chips to the United Arab Emirates.
The U.S. Commerce Department has authorized Nvidia to ship up to 500,000 AI semiconductors annually through 2027, with strict safeguards to prevent diversion or misuse.
The approval marks the first major export clearance since President Trump’s inauguration, signaling Washington’s renewed engagement with Gulf partners in emerging technologies.
The deal is expected to bolster the UAE’s ambition to become the Middle East’s leading AI hub, complementing its recently announced $1.4 trillion investment pledge in the United States focused on AI, energy, and infrastructure.
Following the announcement, Nvidia’s shares rose 1.4% in after-hours trading, reaching a record high above $190 per share.
The approval is indicative of Nvidia’s growing dominance in the AI hardware market and highlights the expanding global demand for high-performance computing chips.
Analysts say the move reflects both economic cooperation and geopolitical strategy, as the U.S. seeks to strengthen technology partnerships with allies while maintaining control over the export of sensitive semiconductor technologies.