According to a report published by CNBC, Nvidia's shares increased by 2% after Microsoft announced on Monday that it obtained export licenses to ship Nvidia chips to the United Arab Emirates, contributing to the Gulf's aspirations in artificial intelligence.
Microsoft confirmed it is the first company to secure those licenses from the U.S. Department of Commerce since the Trump administration, with the approval granted in September based on updated and stringent technological assurances.
During the ADIPEC conference in Abu Dhabi, Microsoft's President Brad Smith told CNBC that the relationship between the UAE and the U.S. is extremely important and has spanned multiple administrations.
Microsoft President Brad Smith thanked U.S. Commerce Secretary Howard Lutnick for his role in facilitating the export licenses, emphasizing the importance of continued U.S.–UAE collaboration in the field of artificial intelligence.
Microsoft also announced its plans to increase its investments in the UAE to $15.2 billion by the end of this decade, which includes a $1.5 billion investment in AI company G42 and over $5.5 billion in AI and cloud infrastructure projects.
Smith added, 'We are really investing in trust, and this combination of technology, talent, and trust is what is coming together here in the UAE, around AI, around technology, which is the future of the entire economy.'