The United States and the United Arab Emirates have signed a historic agreement to construct a vast artificial intelligence (AI) data center complex in Abu Dhabi, with a planned capacity of 5 gigawatts, enough to power an entire major city.
Announced during U.S. President Donald Trump’s visit to the UAE on Thursday, the project is set to become the largest data center deployment outside the United States, according to the U.S. Commerce Department. The initiative will commence with a 1-gigawatt AI facility and ultimately expand to cover 10 square miles.
The partnership is expected to significantly boost the presence of American AI and cloud technology firms in the Middle East, enhancing service delivery to regions such as the global south. While specific companies involved have not been disclosed, Nvidia CEO Jensen Huang was seen attending one of Trump’s meetings in the UAE. Nvidia has not commented on its involvement.
U.S. Commerce Secretary Howard Lutnick praised the deal as a strategic milestone, highlighting its role in advancing President Trump’s agenda for American dominance in AI. “By extending the world’s leading American tech stack to an important strategic partner, this agreement is a major milestone in achieving President Trump’s vision for U.S. AI leadership,” Lutnick said.
The UAE, which has set a goal to become a global AI leader by 2031, sees this investment as a critical step in its efforts to diversify its economy beyond oil. UAE Minister of Education Sarah Al Amiri emphasized the importance of AI infrastructure in building a sustainable, tech-driven future.
In a reciprocal move, the White House also announced that the UAE has pledged to build or finance AI data centers within the United States that will be “at least as large and as powerful” as those in the UAE.
Written By Rodney Mbua
