US eases UAE export controls, giving Apple and tech giants license-free AI chips access

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The U.S. Department of Commerce has loosened export controls on the United Arab Emirates, allowing eight major tech companies including Apple, Amazon, and Microsoft to access advanced AI chips and servers without individual licenses. The move reflects strengthening US-UAE relations but has sparked concerns about potential technology diversion to China.

US Grants License-Free Access to Advanced Computing Items

The U.S. Department of Commerce has loosened export controls on the UAE, marking a significant shift in how American tech companies can operate in the Gulf nation

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. Under the new rule filed for public inspection ahead of its July 14 publication in the Federal Register, eight U.S.-headquartered companies and their UAE-based subsidiaries can now receive license-free access to advanced computing items without applying for individual export licenses

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Apple, Amazon, Google, Meta, Microsoft, OpenAI, Oracle, and xAI are among the companies that will benefit from eased restrictions on Apple and other tech firms

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. The authorization covers items regulated by the Export Administration Regulations, including the ability to export advanced-computing chips, servers, and systems containing them, as well as designated software and technology . UAE companies G42 and Core42 are also included in this expanded access framework

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Source: Market Screener

Source: Market Screener

Nvidia and Data Center Infrastructure Opportunities

The policy change makes it easier to export Nvidia AI chips and other critical hardware to the UAE, creating substantial revenue opportunities for U.S. tech companies

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. For Apple specifically, data center infrastructure represents the most obvious use case for leveraging this new authorization, though the company has not yet announced specific plans

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Source: 9to5Mac

Source: 9to5Mac

In 2025, the U.S. reached a preliminary agreement with the UAE to allow it to import hundreds of thousands of Nvidia AI chips, and the Commerce Department confirmed that the license-free access for the UAE government and approved companies aligns with the finalized May 2025 framework

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. The department also plans to favorably review export license applications for chips and servers to UAE company MGX

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Strengthening US-UAE Relations Through Strategic Partnership

The Commerce Department moved the UAE into a country grouping that allows more license exceptions for military and dual-use items, making it the only country in this group that is not a member of multilateral export control regimes

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. Other countries in this grouping include NATO countries and other allies, while regional neighbors like Israel and Saudi Arabia are not members

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The expanded access also extends beyond AI chips to include commercial satellites, spacecraft, and certain items involved in oil and gas production and civil nuclear power generation

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. In justifying the favorable treatment, the Commerce Department cited decades of cooperation in countering Iran and its proxies, including Hamas, Hezbollah and the Houthis

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Geopolitical Context and Economic Ties

The UAE played a key role advancing U.S. interests during Operation Epic Fury, referring to the U.S.-Israeli strikes on Iran that began in February

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. The Commerce Department also highlighted that the UAE is the largest U.S. trading partner in the Middle East, with foreign direct investment in the United States valued at over $1 trillion .

A former Commerce Department official noted that under this new regime, there will no longer be room for debate within the administration regarding licenses for companies like G42, which were previously contentious in part because of the potential for these companies to serve Chinese customers

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National Security Risks and Political Scrutiny

The move has already drawn criticism from Senator Elizabeth Warren, the ranking member of the Senate Banking Committee, who raised concerns about national security risks

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. "We already know that the UAE royal behind G42 and MGX secretly bought a 49% stake in the Trump crypto company, World Liberty Financial," Warren stated, adding that the Commerce Department is "giving G42 license-free access to advanced AI chips and promising favorable treatment for MGX, despite reported concerns about the diversion of sensitive technology to China and other national security risks"

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For tech companies watching this development, the regulatory shift signals both opportunity and scrutiny. The ability to deploy AI infrastructure in the UAE without bureaucratic delays could accelerate regional AI development, but companies will need to navigate heightened attention around technology transfer and end-use monitoring. As the UAE positions itself as a Middle Eastern AI hub, observers will be watching how American firms balance commercial expansion with compliance in an increasingly complex geopolitical landscape.

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