UAE Halts US Talks with AI Firm G42 Amid China Tech Concerns

The United Arab Emirates (UAE) halted scheduled meetings this month between U.S. Congressional staffers and the Emirati artificial intelligence firm G42. This action follows concerns raised by U.S. lawmakers regarding the potential transfer of advanced American AI technology from G42 to China via the UAE, according to a congressional spokesperson.

The cancellation of the meetings was reportedly due to direct intervention by the UAE Ambassador to the United States. The ambassador “personally intervened” to prevent staffers from the House Select Committee on China from meeting with G42 representatives and UAE government officials. This information comes from a source familiar with the cancellations who requested anonymity due to internal committee policies.

Per Reuters, the root of U.S. lawmakers’ concerns lies in a substantial $1.5 billion investment by Microsoft in G42. Legislators fear that this deal could facilitate the transfer of sensitive AI technology to China, given G42’s historical connections with the country. A spokesperson for the committee underscored these apprehensions, stating, “The committee has even more concerns about the G42-Microsoft deal given the UAE refusal to meet with congressional staff to discuss these issues. As a result, expect Congress to get more involved in oversight of these negotiations.”

Read more: Hong Kong Residents Locked Out of US Big Tech AI: Report

The diplomatic tensions reflect broader issues as China hardliners in Congress increase their scrutiny over the G42-Microsoft partnership and the potential risks of sensitive AI technology leaking to China through Middle Eastern channels. The canceled meetings may thus signal a deeper diplomatic fallout and a possible escalation in oversight measures.

When approached for comment, the State Department declined to provide a statement. G42 also referred all inquiries to the Emirati government. A UAE embassy spokesperson responded, attributing the situation to a “miscommunication around the visit” and emphasizing that the embassy was only informed of the staff delegation shortly before its scheduled arrival. The spokesperson further noted that the UAE Embassy has engaged with numerous committee members and staffers recently, emphasizing ongoing efforts to bolster the control of advanced technologies crucial to the security interests of both the UAE and the U.S.

The congressional staffers had intended to use the meetings, scheduled for July 16-19, to discuss the transfer of sophisticated chips from companies like Nvidia to the UAE and Saudi Arabia. These discussions were to be part of a broader examination of U.S.-China technological competition and its implications.

Related: Microsoft and G42 Team on $1 Billion Kenya Data Center

Source: Reuters