The US is reportedly exploring the possibility of furthering ties with the UAE through new partnerships on artificial intelligence.
Talks have been ongoing at the highest levels of the US government to increase cooperation between American tech groups and Abu Dhabi, and gain an advantage over China in the race to develop new AI projects, sources told the Financial Times (FT) in a report published on April 21.
It follows the recent announcement by Microsoft to invest $1.5 billion in Abu Dhabi-based firm, G42 with the aim of accelerating AI development.
Further highlighting this high-level cooperation both companies agreed to work together under the development and deployment of AI under a detailed Intergovernmental Assurance Agreement (IGAA) that complies with both US and international trade, laws and regulations.
It comes as the race to lead the way in artificial intelligence heats up with recent PwC research estimating that AI could contribute up to $15.7 trillion to the global economy in 2030, with US$320 billion coming from the Middle East.
The largest gains are expected to be seen in Saudi Arabia, with AI contributing over US$135.2 billion in 2030 to the economy, equivalent to 12.4% of GDP. Yet, PwC forecasts that the UAE will experience the larges relative impact with AI contributing close to 14% of 2030 GDP.
In a further sign of Microsoft’s expanding presence in the region, First Abu Dhabi Bank (FAB) also recently inked a deal with the tech giant to develop new AI-based banking capabilities as part of a strategic partnership. Under the deal, the UAE’s largest bank plans to launch a new ‘AI Innovation Hub’ for financial services, which will focus on innovation, sustainability, and customer experience.
