The US and UAE have agreed to build a massive AI data centre in Abu Dhabi. It will have 5 gigawatts of power—enough to supply an entire city. This project will boost artificial intelligence capabilities and strengthen US tech reach in the Middle East.

Leaders Sign Deal

During his recent visit to the UAE, US President Donald Trump signed a major deal with UAE President Sheikh Mohamed bin Zayed Al Nahyan. As part of this agreement, they announced plans to build the largest AI data centre outside the United States.

According to the US Commerce Department, the facility will begin with 1 gigawatt of power. Eventually, it will expand to cover 10 square miles.

US Expands Tech Footprint

Moreover, the project will help American AI and cloud companies grow in the region. It will also improve their ability to serve the Global South more effectively.

The White House stated, “The AI agreement includes the UAE committing to invest in, build, or finance U.S. data centres that are at least as large and as powerful as those in the UAE.”

Security Comes First

In addition, the UAE has agreed to match its security rules with those of the US. This is a key part of the deal. The agreement ensures strong safeguards to prevent misuse of American technology.

As the White House explained, “The agreement also contains historic commitments by the UAE to further align their national security regulations with the United States, including strong protections to prevent the diversion of US-origin technology.”

US Companies Will Run It

Although a UAE-backed firm named G42 will build the data centre, American companies will manage it. They will also provide cloud services across the region.

US Commerce Secretary Howard Lutnick confirmed, “American companies will operate the data centers and offer American-managed cloud services throughout the region.”

Nvidia Chief Appears at Meeting

While the deal did not mention specific companies, CNN reported that Nvidia CEO Jensen Huang was present at one of Trump’s meetings in the UAE. This suggests strong interest from US tech giants.

Push for Global AI Leadership

Trump has consistently backed AI investment. He wants to ensure the US stays ahead in global technology. Lutnick said, “By extending the world’s leading American tech stack to an important strategic partner in the region, this agreement is a major milestone in achieving President Trump’s vision for US AI dominance.”

UAE Has Big AI Goals Too

Furthermore, the UAE also aims to become a global leader in AI. It has set a target to lead the world in artificial intelligence by 2031. This new data centre supports that mission.

Strategic Victory for UAE

Finally, this deal marks a strategic win for the UAE. It helps the country balance ties with both the US, its longtime ally, and China, its biggest trade partner. The agreement also shows the US trusts the UAE to protect sensitive American technology—especially since American firms will manage the centre.