Saudi Arabia is recalibrating its approach to artificial intelligence (AI) collaborations, particularly concerning its ties with China. The newly appointed head of the King Abdullah University of Science and Technology (KAUST), Tony Chan, has pledged to limit partnerships with Chinese entities that could jeopardize access to US-made AI chips. This marks a significant shift from the previous administration, which had expanded ties with China, including a notable project with the Chinese University of Hong Kong, Shenzhen [83b55c8f].
This strategic pivot aligns with broader trends in the region, as both Saudi Arabia and the UAE are advancing their AI development while navigating complex trade relations with the United States and China. In May 2024, a Saudi fund made headlines by investing in China's leading generative AI start-up, showcasing the delicate balance the kingdom is attempting to maintain [83b55c8f].
In a related context, the UAE has also been making substantial investments in its technology sector. The UAE's recent partnership with the United States aims to bolster its AI capabilities and reduce reliance on Chinese technology investments. This partnership was formalized on September 30, 2024, during a meeting between US President Joe Biden and Emirati President Sheikh Mohammed bin Zayed Al Nahyan [d0b68d63].
As part of this alliance, the UAE has committed to avoiding collaborations with flagged Chinese AI companies, reflecting a broader 'tech hedging strategy' that seeks to maximize the UAE's self-interest while still engaging with China in neutral fields [d0b68d63].
Additionally, discussions are underway between Samsung Electronics and Taiwan Semiconductor Manufacturing Company (TSMC) regarding the establishment of semiconductor plants in the UAE, with investments exceeding $100 billion. This initiative is part of the UAE's ambition to become a global hub for advanced technologies [7537d244].
The UAE has emerged as a leader in attracting AI talent, ranking second globally after the US. Minister of Economy Abdulla bin Touq Al Marri announced this achievement at Gitex Global on October 14, 2024, highlighting the UAE's focus on AI education and STEM skills for youth [d823063c].
These developments underscore the shifting dynamics in the region's tech landscape, as both Saudi Arabia and the UAE navigate their relationships with major global powers while striving to establish themselves as leaders in AI and semiconductor technology [c996bb69].