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America’s AI controls risk stalling the Gulf’s billion-dollar vision

America’s AI controls risk stalling the Gulf’s billion-dollar vision

America’s AI controls risk stalling the Gulf’s billion-dollar vision
US National Security Adviser Jake Sullivan talks about AI during a news briefing on Jan. 13, 2025 in Washington. (AFP)
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The US government’s new controls on artificial intelligence chips arrive at a peculiar moment for the Gulf. The region has committed billions to becoming a global AI hub, yet Washington’s latest policy effectively tells it to wait its turn.

The framework announced this week relegates most of the world — including the Gulf states — to a secondary tier, permitted to purchase only 50,000 advanced AI chips annually. Meanwhile, 18 privileged nations, mostly close US allies, enjoy unlimited access.

This arbitrary ceiling comes just as the region’s universities, research centers, and sovereign wealth funds are making unprecedented investments in AI infrastructure.

The oversight appears particularly shortsighted given the Gulf’s strategic advantages. Ƶ, for example, with vast land availability and energy costs at about $0.048 per kilowatt-hour — a fraction of Western rates — is perfectly positioned to become a global hub for AI data centers.

First-mover advantage in this critical 21st century infrastructure could prove more valuable than unrestricted chip access.

Consider the scale of investment. Ƶ and the UAE have emerged as two of the world’s most ambitious investors in AI infrastructure. The UAE has built 235 megawatts of data center capacity, while Ƶ has reached 123 megawatts. These are not speculative ventures — they represent serious, long-term commitments to becoming global AI hubs.

The quality of these investments is as significant as their scale. The recent partnership between Ƶ’s Public Investment Fund and Google Cloud to create a new global AI hub demonstrates the sophistication and forward-looking nature of Gulf AI initiatives.

Similarly, Ƶ’s collaboration with US-based Groq to build the world’s largest specialized AI data center shows a very clear preference for working with American technology leaders.

But perhaps the outgoing Biden administration has left the door ajar. These controls come with a 120-day implementation window — leaving plenty of time for the new administration to reassess its approach to America’s key Gulf allies.

Besides, recent developments in China offer a lesson in how technology restrictions can have unintended consequences. Despite facing the strictest US controls, Chinese AI startup DeepSeek has made remarkable progress. Its latest large language model approaches Western capabilities, all while using just a 10th of the computational resources, a feat accomplished through clever mathematics rather than raw processing power.

Ƶ’s collaboration with US-based Groq to build the world’s largest specialized AI data center shows a very clear preference for working with American technology leaders.

Adrian Monck

This breakthrough should be on the radar of every country facing these new restrictions. DeepSeek’s achievement suggests that the path to AI leadership may not run through hardware dominance after all. Its team improved chip efficiency by 60 percent in six months when faced with hardware limitations. Innovation, it seems, is still possible under constraint.

The timing is particularly relevant for the Gulf. The region’s advantages are clear. It has emerging world-class universities — like Ƶ’s King Abdullah University of Science and Technology and the UAE’s Mohamed bin Zayed University of Artificial Intelligence — significant capital resources, and growing pools of young, technical talent.

These may ultimately prove to be the long-term formula for AI success. If algorithmic innovation, rather than graphics processing unit brute force, will shape AI’s future, then investments in education and research will take on even greater importance.

DeepSeek developed its latest model for just $6 million — “a joke” according to OpenAI’s Andrej Karpathy — while Western tech giants spend hundreds of millions on similar projects. An efficiency-first approach aligns naturally with the region’s emphasis on sustainable technological development.

The US strategy seems predicated on an outdated notion of technological development — that controlling hardware access ensures controlling outcomes. Yet history suggests otherwise.

The Soviet space program achieved remarkable successes despite enormous technological restrictions, compensating through innovation. Ancient China’s attempts to restrict access to silk production technology met with failure.

Recent breakthroughs underline the stakes. OpenAI’s latest model scored 88 percent on complex reasoning tests, whereas previous systems managed just 5 percent, suggesting we are entering a critical phase in AI development. Its CEO Sam Altman believes artificial general intelligence — systems matching human capabilities — could emerge within four years.

This timeline makes the current administration’s attempt to create a hierarchical “AI world order” particularly short-sighted. Subordinating the region’s technological sovereignty to an arbitrary quota system, especially as it invests heavily in developing domestic AI capabilities, seems almost designed to alienate friends.

A more constructive approach would recognize that states like Ƶ and the UAE are not just seeking to acquire AI capabilities — they’re building comprehensive AI ecosystems that could complement and strengthen US leadership in this critical technology. Their combination of capital, strategic vision, and commitment to working with Western partners makes them ideal partners in expanding the reach of responsible AI development.

The incoming Trump administration has an opportunity to recalibrate this policy. Rather than maintaining restrictions that complicate natural technological partnerships, a revised approach could focus on deepening collaboration with serious, well-resourced partners. The administration’s emphasis on deal-making and economic engagement suggests it would recognize the strategic value of such cooperation.

Adrian Monck is a senior adviser at the Mohamed bin Zayed University of Artificial Intelligence and authors the geopolitics newsletter, Seven Things.


 

Disclaimer: Views expressed by writers in this section are their own and do not necessarily reflect Arab News' point of view

Lebanese president seeks Israel’s commitment to Gaza deal, warns against violations

Lebanese president seeks Israel’s commitment to Gaza deal, warns against violations
Updated 17 min 35 sec ago

Lebanese president seeks Israel’s commitment to Gaza deal, warns against violations

Lebanese president seeks Israel’s commitment to Gaza deal, warns against violations
  • French president, UN chief set to visit Beirut as Aoun rallies support
  • PM-designate Salam calls for dialogue with Hezbollah, Amal as consultations end

BEIRUT: Lebanese President Joseph Aoun hoped on Thursday “for the ceasefire in Gaza to end the tragic reality and prompt Israel to seriously abide by the clauses of the agreement, which requires the follow-up of the sponsoring states and the UN.”
Israel had always evaded its commitments and ignored international resolutions, he said.
“The hostilities taking place in the south (of Lebanon), as well as the violations of the ceasefire agreement, prove so.”
Aoun’s comments came as Israel’s violations of Lebanese airspace reached Beirut and its forces continued to bulldoze the neighborhoods of Taybeh and Aita Al-Shaab.
Lebanese Broadcasting Corporation International said its media staff “came under Israeli fire while accompanying an ambulance team inside a house in Mays Al-Jabal, with no casualties reported.”
Aoun, who was elected president a week ago, received invitations to visit Qatar and Jordan. He also took a phone call from Saudi Crown Prince Mohammed bin Salman, who invited him to visit the Kingdom. Aoun said it would be his “first visit abroad.”
Qatar’s Ambassador to Lebanon Saud bin Abdulrahman Al-Thani delivered an official invitation from his nation’s leader, Sheikh Tamim bin Hamad Al-Thani, for Aoun to visit Doha.
In the letter, the sheikh said he hoped that Aoun’s tenure would “witness a new stage where security, stability and prosperity will prevail in the country.”
In a speech delivered from the presidential palace, the ambassador expressed his country’s “continuous support for Lebanon in all the political, economic and military fields.”
Jordan’s Foreign Minister Ayman Safadi delivered an invitation from King Abdullah II for Aoun to visit Jordan. He also expressed Jordan’s “commitment to supporting Lebanon, its security, stability and full sovereignty” and urged Israel to “honor the ceasefire agreement and stop its violations against Lebanon.”
Safadi also met Parliament Speaker Nabih Berri and Prime Minister-designate Nawaf Salam.
“We believe that the new leadership in Lebanon can go forward and we affirm that we will continue to support the Lebanese army,” he said.
“We look with our partners worldwide into providing what the army needs in terms of fundamental capabilities so it could carry out its role.”
Safadi said that the mediators announced the ceasefire in the Gaza Strip “clearly and decisively” and that “the whole world knows the importance of respecting and implementing this agreement.”
“We call for full compliance,” he said. “We also urge the opening of all crossings and an international effort to deliver sufficient humanitarian aid to Gaza.”
French President Emmanuel Macron is scheduled to make a working visit to Beirut on Friday, becoming the second head of state to visit the country, following Cyprus’ President Nikos Christodoulides.
UN Secretary-General Antonio Guterres is also expected to travel to Beirut to congratulate Aoun.
The Elysee Palace said Macron’s visit “underscores France’s unwavering commitment to Lebanon’s stability, unity and development” and that his presence would strengthen the ceasefire monitoring mechanisms, mainly focusing on UNIFIL’s peacekeeping operations.
In domestic developments, Aoun held talks with acting Central Bank Governor Wassim Mansouri, who offered his first public assessment since Lebanon’s recent period of turmoil.
He reported “improving monetary conditions and increased foreign currency reserves following the presidential election” and emphasized the central bank’s policy of maintaining the value of the Lebanese pound “without market intervention.”
Earlier on Wednesday, Aoun received Spain’s Minister of Foreign Affairs, EU and Cooperation Jose Manuel Albares Bueno.
Meanwhile, Salam entered the final day of non-binding parliamentary consultations regarding government formation and the ministerial statement that will outline his administration’s agenda.
The process has unfolded amid growing international and Arab support for Lebanon’s new leadership.
A meeting between Salam and Berri is expected to take place on Friday.
Both Berri’s parliamentary bloc and Hezbollah’s representatives have boycotted the consultations, protesting against Salam’s appointment ahead of their preferred candidate, Najib Mikati.
If it takes place, the meeting between Berri and Salam is intended to ease Hezbollah’s concerns.
It will also seek to assure the party it has not lost its internal cohesion following the speeches of the president and prime minister.
Salam is expected to present his vision for forming the next government to Berri and the president after consulting with all parliamentary blocs, including independent and Change lawmakers.
MP Jihad Al-Samad met Salam on Thursday and quoted him as saying that “given the ongoing disagreement, there are only two solutions: either an agreement or an agreement.”
Other lawmakers who attended the talks said the parliamentary consultations concluded on the second day with the “assertation that the government’s ministerial statement must be a reflection of the president’s oath speech.”
They said the consultations also emphasized the importance of “establishing a government capable of protecting Lebanon, overseeing rapid reconstruction and ensuring the return of the displaced people to the south.”
“It must be a government composed of qualified people, free from political calculations, with all its components, including new faces who aspire to trust and plan to restore depositors’ funds,” they said.
“Additionally, the government should consist of national competencies, separate parliamentary seats from ministerial posts and ensure the transparency and integrity of the judiciary to attract investments back to the country.”
At the end of the first day of the parliamentary consultations, the parliamentary blocs expressed their desire to form “a government of specialists representing all the parliamentary blocs.”


Contest organizers fear for safety of Miss France over Charlie Hebdo controversy

Contest organizers fear for safety of Miss France over Charlie Hebdo controversy
Updated 54 min 38 sec ago

Contest organizers fear for safety of Miss France over Charlie Hebdo controversy

Contest organizers fear for safety of Miss France over Charlie Hebdo controversy

DUBAI: Miss France 2025, Angelique Angarni-Filopon, has come under fire for her apparent lack of solidarity with the French magazine Charlie Hebdo.

On Jan. 7, 2015, two gunmen claiming allegiance to Al-Qaeda stormed the offices of the satirical weekly, killing 12 people.

The attack, which was in retaliation to the magazine’s caricature of the Prophet Muhammad, sparked worldwide debate about the limits of free speech. It resulted in the “Je Suis Charlie” (“I Am Charlie”) slogan being used by supporters of the magazine around the world as a call for the right to freedom of expression.

In a recent radio interview, Angarni-Filopon was asked if she was “Charlie” but she declined to comment.

Her lack of a response sparked a furor online. Charlie Hebdo published a cartoon of three Islamic leaders holding up a sign that read “Je Suis Miss France” (“I Am Miss France”) and the caption “Miss France n’est pas Charlie” (“Miss France is not Charlie”).

Frederic Gilbert, chairman of Societe Miss France, said the controversy was of “unprecedented violence” and that he was “worried for the safety of Miss France.”

Winners were required to withhold any political or religious opinions during the year they held the title and Angarni-Filopon was merely following the pageant’s rules, he said.

Since winning the competition the beauty queen has faced online hate and harassment with social media users, particularly on TikTok, mocking her age and appearance.

In an interview with Marie Claire, Angarni-Filopon said: “Cyberbullying is punishable by law … so be careful what you put on the internet.

“Remember, we don’t do to people what we wouldn’t like done to us.”


Pakistan Navy hands over command of multi-nation task force to New Zealand 

Pakistan Navy hands over command of multi-nation task force to New Zealand 
Updated 16 January 2025

Pakistan Navy hands over command of multi-nation task force to New Zealand 

Pakistan Navy hands over command of multi-nation task force to New Zealand 
  • Combined Task Force 150 conducts maritime security operations outside the Arabian Gulf
  • Pakistan Navy says intercepted narcotics with street value exceeding $50 million in six months

ISLAMABAD: Pakistan’s navy handed over command of the Combined Task Force (CTF) 150 multi-nation task force to New Zealand on Thursday, the navy said in a statement, after heading it for six months during which it boosted cooperation with regional allies and intercepted narcotics worth millions of dollars. 
CTF 150 was established in February 2002 and is one of five operational task forces under the Combined Maritime Forces, the largest multi-nation naval alliance in the world. CTF 150 conducts maritime security operations outside the Arabian Gulf against threats from non-state actors.
Pakistan Navy Commodore Asum Sohail Malik turned over command to Royal New Zealand Navy Commodore Rodger Ward during a change of command ceremony at the Naval Support Activity in Bahrain. Pakistan had taken command of CTF 150 in July 2024. 
The navy said during Pakistan’s tenure as head of the CTF 150, the task force conducted numerous maritime security operations. Pakistan Navy and Pakistan Maritime Security Agency ships independently interdicted three narcotics-laden dhows, the navy’s media wing said. 
“Collectively, Pakistan Navy and CMF intercepted approximately 10 tons of narcotics, with a street value exceeding 50 million US dollars over the last six months,” Pakistan Navy said in a statement. 
It said that under Pakistan Navy’s leadership, CTF 150 also actively fostered regional collaboration, securing the participation of ships from Kenya Navy and Royal Navy of Oman in CTF 150 operations.
The incoming Commander of the CTF 150, Commodore Ward, expressed his gratitude to Pakistan Navy for its exemplary leadership and operational successes during its tenure.
The new CTF 150 commander has an extensive background in maritime operations, with deployments to Malaysia, the Solomon Islands, Afghanistan, and Iraq, the CMF said in a statement.
This will mark the second time New Zealand has taken command of CTF 150.


Netanyahu says ‘last minute crisis’ with Hamas holding up approval of Gaza truce and hostage deal

Netanyahu says ‘last minute crisis’ with Hamas holding up approval of Gaza truce and hostage deal
Updated 16 January 2025

Netanyahu says ‘last minute crisis’ with Hamas holding up approval of Gaza truce and hostage deal

Netanyahu says ‘last minute crisis’ with Hamas holding up approval of Gaza truce and hostage deal
  • Netanyahu accuses Hamas of reneging on parts of ceasefire deal to gain concessions
  • Hamas official says group “committed to ceasefire agreement” announced by mediators

TEL AVIV: Prime Minister Benjamin Netanyahu said Thursday that a “last minute crisis” with Hamas was holding up Israeli approval of a long-awaited agreement to pause the fighting in the Gaza Strip and release dozens of hostages. Israeli airstrikes meanwhile killed dozens of people across the war-ravaged territory.
Netanyahu’s office said his Cabinet won’t meet to approve the agreement until Hamas backs down, accusing it of reneging on parts of the agreement in an attempt to gain further concessions.
Izzat Al-Rashq, a senior Hamas official, said the militant group “is committed to the ceasefire agreement, which was announced by the mediators.”
US President Joe Biden and key mediator Qatar announced the deal on Wednesday, which is aimed at releasing scores of hostages held in Gaza and winding down a 15-month war that has destabilized the Middle East and sparked worldwide protests.
Netanyahu’s office had earlier accused Hamas of backtracking on an earlier understanding that he said would give Israel a veto over which prisoners convicted of murder would be released in exchange for hostages.
Netanyahu has faced great domestic pressure to bring home the scores of hostages, but his far-right coalition partners have threatened to bring down his government if he makes too many concessions.
Israeli strikes across the Gaza Strip have meanwhile killed at least 48 people over the past day, according to the territory’s Health Ministry. In previous conflicts, both sides have stepped up military operations in the final hours before ceasefires as a way to project strength.
Around half of the dead were women and children, Zaher Al-Wahedi, head of the ministry’s registration department, told The Associated Press. He said the toll could rise as hospitals update their records.
A phased withdrawal and hostage release with potential pitfalls
The war began when Hamas-led militants stormed into Israel in a surprise attack on Oct. 7, 2023, killing some 1,200 people, mostly civilians, and abducting around 250. Some 100 hostages are still inside Gaza, and the Israeli military believes around a third and up to half of them are dead.
Under the deal reached Wednesday, 33 hostages are set to be released over the next six weeks in exchange for hundreds of Palestinians imprisoned by Israel. Israeli forces will pull back from many areas, hundreds of thousands of Palestinians would be able to return to what’s left of their homes, and there would be a surge of humanitarian assistance.
The remainder of the hostages, including male soldiers, are to be released in a second — and much more difficult — phase that will be negotiated during the first. Hamas has said it will not release the remaining captives without a lasting ceasefire and a full Israeli withdrawal, while Israel has vowed to keep fighting until it dismantles the group and to maintain open-ended security control over the territory.
Israel’s offensive has killed over 46,000 people in Gaza, mostly women and children, according to the Health Ministry. it does not say how many of the dead were militants. Israel says it has killed over 17,000 fighters, without providing evidence.
The war has destroyed vast areas of Gaza and displaced some 90 percent of its population of 2.3 million people, according to the United Nations.
Israel says final details still being worked out
Mediators from Egypt, Qatar and the US are expected to meet in Cairo on Thursday for talks on implementing the agreement. They have spent the past year holding indirect talks with Israel and Hamas that finally resulted in a deal after repeated setbacks.
President-elect Donald Trump’s Mideast envoy joined the talks in the final weeks, and both the outgoing administration and Trump’s team are taking credit for the breakthrough.
Many longer-term questions about postwar Gaza remain, including who will rule the territory or oversee the daunting task of reconstruction after a brutal conflict that has destabilized the broader Middle East and sparked worldwide protests.
Israel has come under heavy international criticism, including from its closest ally, the United States, over the civilian toll in Gaza. It also blames Hamas for the civilian casualties, accusing it of using schools, hospitals and residential areas for military purposes.
The International Court of Justice is investigating allegations brought by South Africa that Israel has committed genocide. The International Criminal Court, a separate body also based in The Hague, has issued arrest warrants for Netanyahu, his former defense minister and a Hamas commander for war crimes and crimes against humanity linked to the war.
Israel and the United States have condemned the actions taken by both courts.
Hamas, a militant group that does not accept Israel’s existence, has come under overwhelming pressure from Israeli military operations, including the invasion of Gaza’s largest cities and towns and the takeover of the border between Gaza and Egypt. Its top leaders, including Yahya Sinwar, who was believed to have helped mastermind the Oct. 7, 2023, attack, have been killed.
But its fighters have regrouped in some of the hardest-hit areas after the withdrawal of Israeli forces, raising the prospect of a prolonged insurgency if the war continues.


Yemen’s Houthis to continue attacks if Gaza ceasefire breached

Yemen’s Houthis to continue attacks if Gaza ceasefire breached
Updated 16 January 2025

Yemen’s Houthis to continue attacks if Gaza ceasefire breached

Yemen’s Houthis to continue attacks if Gaza ceasefire breached
  • The Houthis' attacks since Nov. 2023 forced some ships to take the long route around southern Africa rather than the Suez Canal
  • The armed group has also launched missiles and drones toward Israel

CAIRO: The leader of Yemen’s Iran-aligned Houthis, Abdul Malik Al-Houthi, said on Thursday his group will monitor the implementation of a ceasefire deal between Israel and Hamas aimed at ending the 15-month war in Gaza and continue its attacks if it is breached.
The Houthis, who had on an almost weekly basis targeted ships using ballistic missiles and drones in waters near Yemen’s shores to show their solidarity with the Palestinians, had long said they would cease these operations if the conflict ended.
The attacks, which started in Nov. 2023, have disrupted international commerce, forcing some ships to take the long route around southern Africa rather than the Suez Canal, leading to an increase in insurance rates, delivery costs and time that stoked fears of a new bout of global inflation.
The Houthis, who control most parts of Yemen including the capital Sanaa since seizing power in late 2014, have sunk two vessels, seized another and killed at least four seafarers.
The armed group has also launched missiles and drones toward Israel, hundreds of kilometers to the north. Israel responded by striking Houthi areas on several occasions, including last week when Israeli warplanes bombed two ports and a power station.
Israeli Prime Minister Benjamin Netanyahu said last month Israel was only at the beginning of its campaign against the Houthis.
The United States alongside Britain launched in Dec. 2023 a multinational operation to safeguard commerce in the Red Sea and have repeatedly conducted air strikes on Houthi strongholds targeting weapons storage facilities.
The EU later in February launched its own Red Sea mission, known as Aspides, to help deter intensified Houthi attacks and help protect the key maritime trade route.
The Houthis appear to be the latest standing component of Iran’s anti-Israel and anti-Western alliance of regional militias, known as the Axis of Resistance, which also includes Hamas, Lebanon’s Hezbollah and Shiite armed groups in Iraq.
Israel has dealt serious blows to Hamas and Lebanon’s Hezbollah, killing their top leaders and reducing their arsenals. In the aftermath, the decades-long regime of Bashar Assad in Syria was also toppled.