Saudi Arabia AI and Chips Fund Would Divest From China If US Asked, CEO Says - Bloomberg
The head of Saudi Arabia’s new investment fund for semiconductor and artificial intelligence technology said the country would divest from China if it were asked to do so by the US.
“So far the requests have been to keep manufacturing and supply chains completely separate, but if the partnerships with China would become a problem for the US, we will divest,” said Amit Midha, the chief executive officer of Alat, an investment firm backed by $100 billion in capital from the Public Investment Fund.
US officials have told their Saudi Arabian counterparts that they need to choose between Chinese and American technology as they aim to build out the Saudi Arabian semiconductor industry, Bloomberg has reported, as part of ongoing talks on a range of national security issues.
“We are seeking trusted, secure partnerships in the US,” Midha said in an interview with Bloomberg News on the sidelines of the Milken Institute Global Conference in California. “The US is the number one partner for us and the number one market for AI, chips and semiconductor industry.”
Saudi Arabia is vying for regional leadership in advanced technology, with the hopes of creating data centers, AI companies and semiconductor manufacturing. Its ambitions come as the US increasingly scrutinizes the Middle East’s ties to China, over worries that countries like Saudi Arabia and the United Arab Emirates could serve as conduits for Beijing to access technology that Chinese firms are blocked from buying from the US.
The US has already asked Abu Dhabi-based AI firm G42 to divest from Chinese technology, in exchange for continued access to US systems that power AI applications. That agreement paved the way for a $1.5 billion Microsoft Corp. investment in G42.
Alat, meanwhile, will announce partnerships with two US tech companies by the end of June, and will co-invest alongside a US investment firm, Midha said. He declined to comment on which firms are involved in those talks or whether they are focused on AI, chips or a combination of the two.
Wednesday 8 May 2024
Focus: Gaza war cools #Israel's once red-hot business ties with #UAE | Reuters
Focus: Gaza war cools Israel's once red-hot business ties with UAE | Reuters
The war in Gaza has cooled Israeli business activity with the United Arab Emirates, with the once-celebrated relationship now conducted away from public scrutiny amid anger in the Arab world over the conflict.
The UAE became the most prominent Arab state in 30 years to establish formal ties with Israel under a U.S.-brokered agreement in 2020, dubbed the Abraham Accords. It has maintained the relationship throughout Israel's more than six-month war in Gaza.
In the wake of the accords, Israeli entrepreneurs began flocking to the Gulf state on direct flights from Tel Aviv, establishing new business ties and expanding existing relationships that were once kept a secret. Deals announced before the war included investments in cyber security, fintech, energy and agri-tech.
Ten Israeli officials, executives and entrepreneurs told Reuters that business ties with the influential Gulf state remain intact but, in a sign of how the conflict has dented enthusiasm, they declined to discuss any recent deals.
The war in Gaza has cooled Israeli business activity with the United Arab Emirates, with the once-celebrated relationship now conducted away from public scrutiny amid anger in the Arab world over the conflict.
The UAE became the most prominent Arab state in 30 years to establish formal ties with Israel under a U.S.-brokered agreement in 2020, dubbed the Abraham Accords. It has maintained the relationship throughout Israel's more than six-month war in Gaza.
In the wake of the accords, Israeli entrepreneurs began flocking to the Gulf state on direct flights from Tel Aviv, establishing new business ties and expanding existing relationships that were once kept a secret. Deals announced before the war included investments in cyber security, fintech, energy and agri-tech.
Ten Israeli officials, executives and entrepreneurs told Reuters that business ties with the influential Gulf state remain intact but, in a sign of how the conflict has dented enthusiasm, they declined to discuss any recent deals.
Mideast Stocks: #AbuDhabi leads as Gulf bourses end higher; Egypt drops
Mideast Stocks: Abu Dhabi leads as Gulf bourses end higher; Egypt drops
Most stock markets in the Gulf ended higher on Wednesday, led by the Abu Dhabi index as strong corporate earnings lifted the investor sentiment despite falling oil prices.
In Abu Dhabi, the benchmark index advanced 1.2%, the highest intraday rise in over four months, with First Abu Dhabi Bank, the UAE's largest lender, climbing 1.6%. International Holding Company rose 1.3% to 405 dirhams per share, its highest level since mid-Jan. IHC, Abu Dhabi's largest listed conglomerate reported an 88% rise in quarterly net profit on Monday evening and said it would buy back up to 5 billion dirhams ($1.36 billion) worth of its shares.
Dubai's benchmark index rose 0.9%, helped by gains in most sectors. The blue-chip developer Emaar Properties added 2.4% and Dubai Taxi gained 2.7% after the Emirate's largest taxi operator reported a 14.8% increase in first quarter net profit.
Saudi Arabia's benchmark stock index bounced back after previous session loss and ended 0.8% higher, with most of its constituents posting gains. ACWA Power surged 9.7% and Saudi Telecom climbed 1.7%, after the kingdom's largest telecom operator reported an increase of 6% in quarterly net profit.
Among other gainers, Savola climbed 3% after Saudi Arabia's largest food products company reported a 53.6% surge in first quarter net profit sequentially. However, its quarterly profit dipped on year on year.
The Qatari benchmark index edged up 0.1%, supported by a 0.9% rise in Qatar National Bank, the region's largest lender, and a 6.6% gain in United Development Co . Qatar Fuel, the oil and gas distributor, however dropped 1.2%.
Oil prices, a catalyst for the Gulf's financial markets, dropped 0.8% on rising US stockpiles, cautious supply expectations with Brent trading at $82.52 a barrel by 1320 GMT.
Outside the Gulf, Egypt's blue-chip index was down after three straight session of gains and ended 1.7% lower, with most sectors in the red.
Commercial International Bank dropped 5% and EFG Holding declined 7.4%. Meanwhile, Egypt's non-oil private sector continued to shrink in April for a 41st consecutive month, a survey showed on Wednesday.
Most stock markets in the Gulf ended higher on Wednesday, led by the Abu Dhabi index as strong corporate earnings lifted the investor sentiment despite falling oil prices.
In Abu Dhabi, the benchmark index advanced 1.2%, the highest intraday rise in over four months, with First Abu Dhabi Bank, the UAE's largest lender, climbing 1.6%. International Holding Company rose 1.3% to 405 dirhams per share, its highest level since mid-Jan. IHC, Abu Dhabi's largest listed conglomerate reported an 88% rise in quarterly net profit on Monday evening and said it would buy back up to 5 billion dirhams ($1.36 billion) worth of its shares.
Dubai's benchmark index rose 0.9%, helped by gains in most sectors. The blue-chip developer Emaar Properties added 2.4% and Dubai Taxi gained 2.7% after the Emirate's largest taxi operator reported a 14.8% increase in first quarter net profit.
Saudi Arabia's benchmark stock index bounced back after previous session loss and ended 0.8% higher, with most of its constituents posting gains. ACWA Power surged 9.7% and Saudi Telecom climbed 1.7%, after the kingdom's largest telecom operator reported an increase of 6% in quarterly net profit.
Among other gainers, Savola climbed 3% after Saudi Arabia's largest food products company reported a 53.6% surge in first quarter net profit sequentially. However, its quarterly profit dipped on year on year.
The Qatari benchmark index edged up 0.1%, supported by a 0.9% rise in Qatar National Bank, the region's largest lender, and a 6.6% gain in United Development Co . Qatar Fuel, the oil and gas distributor, however dropped 1.2%.
Oil prices, a catalyst for the Gulf's financial markets, dropped 0.8% on rising US stockpiles, cautious supply expectations with Brent trading at $82.52 a barrel by 1320 GMT.
Outside the Gulf, Egypt's blue-chip index was down after three straight session of gains and ended 1.7% lower, with most sectors in the red.
Commercial International Bank dropped 5% and EFG Holding declined 7.4%. Meanwhile, Egypt's non-oil private sector continued to shrink in April for a 41st consecutive month, a survey showed on Wednesday.