By Omar Gouda
In 2025, Saudi Arabia and the UAE are making what analysts call a decisive leap in sovereign AI infrastructure. Central to this shift is the greenlight for exporting Nvidia’s advanced Blackwell chips to two state-backed firms: Humain in Saudi Arabia and G42 in the UAE. The deal delivers the compute muscle required to power vast AI factories and research hubs — turning ambition into hardware, and hardware into a long-term strategic wager on artificial intelligence.
Nvidia Deal Ignites the Gulf’s AI Ambitions
The U.S. Commerce Department’s recent approval to export up to 35k Blackwell GB300 processors to Humain in Saudi Arabia and G42 in the UAE signals a watershed in Gulf-U.S. technology ties. Among Nvidia’s most advanced chips, their deployment is seen as a cornerstone for sovereign “AI factories” — infrastructure designed to anchor the region’s push into high-performance computing and artificial intelligence.
In May 2025, Nvidia and Humain unveiled a strategic partnership to construct large-scale AI “factories” in Saudi Arabia, designed to reach a projected capacity of 500 megawatts. Over the coming years, these sites will be powered by several hundred thousand Nvidia GPUs. The initial phase alone will roll out an 18-k-unit GB300 Blackwell supercomputer, integrated with Nvidia’s InfiniBand networking.
Saudi Arabia’s Vision: Sovereign AI and Physical Intelligence
Humain, the Saudi AI firm backed by the Public Investment Fund, is positioning itself beyond the role of a cloud provider, aiming to command the entire AI value chain. Its partnership with Nvidia extends past raw compute to include the Omniverse platform for digital twins, simulation, and robotics, enabling what Humain brands as “physical AI” across sectors such as energy, logistics, and manufacturing.
Alongside its infrastructure push, Humain and its partners are channeling major investment into workforce development. Thousands of Saudi engineers and developers will be trained in simulation, deep learning, robotics, and AI infrastructure: a program designed to advance Saudi Vision 2030’s ambitions for technological leadership and human‑capital growth.
UAE’s Strategy: Compute Campus, Research, and Commercial Ambition
In the UAE, G42 has emerged as a linchpin in the country’s AI ambitions. The company is developing a 1‑gigawatt‑plus compute campus, “Stargate,” in partnership with Nvidia, OpenAI, Oracle, Cisco, and SoftBank. The project reflects a wider national strategy: to pair massive infrastructure with global partnerships and foster a full-fledged AI ecosystem.
The U.S. export approval for Nvidia chips is widely seen as the catalyst for G42 to accelerate its data‑center buildout. Company leaders frame the deal as a shift from planning to execution — laying the foundation for AI services that will serve both domestic and international markets.
Export Policy Shift: Geopolitics Meets Technology
The roadmap for these deals was enabled by a major shift in U.S. export policy. The Commerce Department attached strict security and reporting requirements to the approvals, ensuring the chips are used in line with both technological cooperation and geopolitical safeguards. This policy change signals Washington’s intent to deepen technology ties with Gulf states, not only for economic benefit but also for strategic alignment. The Gulf’s access to advanced AI hardware now comes with accountability, even as sovereign compute capacity accelerates.
Economic Implications and Risks
The Gulf’s AI ambitions are vast, and for Nvidia, the region is fast becoming a critical market for its most advanced chips, underpinning sustained hardware demand. Analysts project that the Human–Nvidia partnership alone could yield multi‑billion‑dollar revenues over the coming years.
Looking Ahead: Gulf AI in 2030 and Beyond
In the short term, Saudi Arabia’s first AI factories are expected to go live by early 2026, with initial data centers powered by 18k Blackwell chips. Over the medium term, both Saudi Arabia and the UAE plan to expand compute capacity substantially, invest in workforce training, and develop proprietary AI models, including multilingual and Arabic large language models tailored to regional needs.
Over the longer term, if these initiatives deliver, the Gulf could emerge as both a sovereign AI hub and a regional export base. Its compute capacity would extend beyond domestic needs to power AI services across the Middle East and Africa. The viability of this strategy will hinge on execution quality, efficient utilization of resources, and policy frameworks that foster innovation while protecting strategic interests.
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