UAE's deal to buy Nvidia AI chips reportedly on hold
The deal, which gives the green light to the UAE to buy billions of dollars worth of AI chips from Nvidia and other semiconductor companies, is on hold due to concerns in the U.S. that these AI chips could end up in China, the Wall Street Journal reported, citing anonymous sources.
This potential chip smuggling was a concern when the deal was initially formed, according to the Wall Street Journal, but officials from the UAE and Saudi Arabia assured the U.S. they had safeguards in place.
Smuggling chips to China has become more of a concern in recent months.
The Trump administration is rumored to be considering imposing chip export restrictions on Thailand and Malaysia as well to curb potential smuggling. Malaysia on Monday introduced an export permit requirement for U.S. AI chips.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Saba Yemen
5 days ago
- Saba Yemen
Federal reserve keeps interest rates unchanged
Washington - Saba: The U.S. Federal Reserve maintained its benchmark interest rate at 4.25% - 4.5% during its meeting on Wednesday. This decision comes amid ongoing tensions between U.S. President Donald Trump and the Federal Reserve. Trump has been pushing for a rate cut and has even threatened to dismiss Fed Chair Jerome Powell. Powell, in turn, has warned of the negative consequences of the Trump administration's policies on the U.S. economy. The Federal Reserve had raised the interest rate to 5.25% - 5.5% in July 2023 and only cut it in September of last year—the first reduction since 2020, when rates were increased in response to the COVID-19 pandemic crisis. Whatsapp Telegram Email Print
Yemen Online
23-07-2025
- Yemen Online
FAB's Record H1 2025 Earnings: A Strategic Case for Undervalued Growth in the UAE Banking Sector
First Abu Dhabi Bank (FAB) has shattered expectations with its record-breaking first-half 2025 financial performance, posting a net profit of AED 10.63 billion—a 26% year-on-year increase—and a Return on Tangible Equity (RoTE) of 20.5%. These figures not only outpace industry benchmarks but also underscore FAB's emergence as a leader in AI-driven innovation and diversified revenue generation. For investors, this represents a compelling opportunity to capitalize on a bank that is redefining the UAE banking sector's growth trajectory while trading at a discount to its intrinsic value. FAB's strategic embrace of artificial intelligence (AI) has positioned it as a pioneer in digital banking. The deployment of a foundational Agentic AI platform, coupled with the rollout of Microsoft MSFT -0.28% 365 Copilot for all employees, has streamlined operations and enhanced decision-making. Innovations such as the Board AI Observer—a tool that analyzes boardroom discussions to optimize governance—and Voice Concierge, which personalizes customer service, have significantly improved operational efficiency. These advancements have reduced the cost-to-income ratio to 22.3% in Q1 2025 (down from 24% a year earlier), while boosting customer satisfaction and retention. The integration of AI into credit analytics and onboarding processes has further strengthened FAB's risk management framework. By automating underwriting and fraud detection, the bank has reduced loan impairments and accelerated customer acquisition. This technological edge is not just a cost-saving measure—it's a revenue driver. For instance, FAB's AI-powered investment banking division secured a landmark deal to finance one of the region's largest data center projects, contributing to a 17% year-on-year revenue increase in its global markets segment. FAB's revenue model is increasingly resilient, with non-interest income surging 41% to AED 8.35 billion in H1 2025. This growth was fueled by a 25% rise in fees and commissions and a 30% increase in foreign exchange and investment income. The bank's non-interest income now accounts for 46% of total revenue—a stark contrast to the UAE banking sector's average of 38%. This diversification insulates FAB from interest rate fluctuations and positions it to thrive in a low-rate environment. Geographic diversification further amplifies this resilience. FAB's international operations, spanning 16 countries, contributed 30% year-on-year revenue growth in H1 2024. Its recent membership in the Cross-Border Interbank Payment System (CIPS) as the first bank FRBA -- in the MENA region has unlocked new cross-border transaction opportunities, particularly in China and Asia. Domestically, FAB's expansion into wealth management, personal banking, and corporate finance has driven 12% revenue growth in these segments.
Yemen Online
17-07-2025
- Yemen Online
UAE's deal to buy Nvidia AI chips reportedly on hold
The massive AI deal between the U.S. and the United Arab Emirates (UAE) is reportedly on hold before it can be finalized due to national security reasons. The deal, which gives the green light to the UAE to buy billions of dollars worth of AI chips from Nvidia and other semiconductor companies, is on hold due to concerns in the U.S. that these AI chips could end up in China, the Wall Street Journal reported, citing anonymous sources. This potential chip smuggling was a concern when the deal was initially formed, according to the Wall Street Journal, but officials from the UAE and Saudi Arabia assured the U.S. they had safeguards in place. Smuggling chips to China has become more of a concern in recent months. The Trump administration is rumored to be considering imposing chip export restrictions on Thailand and Malaysia as well to curb potential smuggling. Malaysia on Monday introduced an export permit requirement for U.S. AI chips.
