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How Trump’s Gulf trip turned oil kingdoms into tech superpowers

Rest of World •
May 15, 2025 • 05:31 PM
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Saudi Arabia, Qatar, and the UAE have pledged trillions of dollars in return for access to cutting-edge chips for AI development.

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U.S. President Donald Trump wrapped up the first major overseas trip of his second term with a four-day blitz through Saudi Arabia, Qatar, and the United Arab Emirates that delivered massive investment commitments, reshaped AI chip exports, and positioned the Gulf as the U.S.’ key tech ally.

Trump had set clear expectations, telling reporters in March that his hosts needed to “pay $1 trillion to American companies” over four years to secure his visit. “Last time I went to Saudi Arabia, they put up $450 billion,” he said about his 2017 trip. “This time they have gotten richer.”

The final tally exceeded Trump’s target.

The UAE pledged $1.4 trillion over the next decade, Saudi Arabia committed $600 billion over four years, and Qatar added $200 billion.

These investments span AI infrastructure, semiconductors, defense, and energy projects.

High-profile tech and investment executives, including Elon Musk, OpenAI CEO Sam Altman, BlackRock CEO Larry Fink, and others, joined Trump on the trip. More than diplomatic theater, the trip represented a strategic technology transfer that could create new AI superpowers while channeling Gulf Oil wealth into U.S. companies.

The centerpiece AI deal during Trump’s visit saw Nvidia partner with Humain, an AI startup backed by Saudi Arabia’s sovereign wealth fund, shipping 18,000 of its cutting-edge Blackwell (GB300) chips immediately.

U.S. AI chipmaker AMD also secured a $10 billion collaboration with Humain, while tech giants, including Qualcomm, Cisco, IBM, Alphabet, Oracle, and Salesforce, announced $80 billion in joint investments across the region.

Trump’s UAE visit delivered perhaps the trip’s crown jewel — a deal allowing the Emirates to import as many as 500,000 of Nvidia’s most advanced AI chips annually from 2025 through 2027, according to reports — potentially worth $15 billion. One-fifth will go directly to G42, the UAE’s AI powerhouse, while the remaining 400,000 will flow to U.S. tech giants building data centers in the Emirates.

Trump also greenlit a $9 billion mining agreement between U.S. firm Burkhan World Investments and Saudi company Grand Mines Mining. The deal will develop lithium, cobalt, and rare earth deposits — essential for everything from smartphones to fighter jets — reducing U.S. dependence on Chinese suppliers.

Trump reversed his predecessor’s so-called AI diffusion rule that blocked Gulf nations from accessing the most advanced U.S. chips, betting that flooding these countries with U.S. technology will cement their loyalty and pull them away from China.

In recent years, Chinese cloud companies have been gaining momentum in the Middle East , where American giants like Amazon, Microsoft, Google, and Oracle have spent years building tech ecosystems. In recent years, Huawei and Alibaba have aligned closely with local government priorities, tailoring their solutions to address specific security and sovereignty concerns.

For Gulf states, these deals represent their hedge against the post-oil economy. Saudi Arabia wants to position itself as an AI hub rivaling Silicon Valley, while the UAE aims to become a global AI leader by 2031. Without access to advanced U.S. chips, these ambitions would have been impossible.

On their part, Gulf states will invest billions in U.S. facilities.

Saudi firm DataVolt plans to put $20 billion into U.S. AI data centers and energy infrastructure, while the UAE’s $1.4 trillion commitment specifically targets AI, semiconductors, manufacturing, and energy projects on U.S. soil.

Besides tech, Saudi Arabia also secured a record $142 billion defense cooperation agreement. In Qatar, which hosts the biggest U.S. military base in the Middle East, Trump secured a $96 billion Boeing deal for up to 210 aircraft, a $10 billion pledge for Al Udeid Air Base investments and MQ-9 drone purchases.

Trump also surprised observers by announcing the lifting of U.S. sanctions on Syria “to give them a chance at greatness,” meeting with Syria President Ahmed al-Sharaa during the trip. He also explored potential nuclear deals with Iran and discussed renaming the Persian Gulf to the Arabian Gulf, though the latter faced Iranian opposition.

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