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Skip to contentSkip to site indexSearch & Section NavigationSection Navigation SEARCH Technology SUBSCRIBE FOR $0.50/WEEKLog in Tuesday, April 16, 2024 Today’s Paper SUBSCRIBE FOR $0.50/WEEK Artificial Intelligence * Harvesting Data for A.I. * A.I. Data Race, Explained * What Is ‘Synthetic Data’? * A.I. Faces Quiz * Key Figures in the Field Advertisement SKIP ADVERTISEMENT Supported by SKIP ADVERTISEMENT MICROSOFT MAKES HIGH-STAKES PLAY IN TECH COLD WAR WITH EMIRATI A.I. DEAL Microsoft said it would invest $1.5 billion in G42, an Emirati company with ties to China, as Washington and Beijing maneuver to secure tech influence in the Persian Gulf. * Share full article * * * 4 * Read in app Peng Xiao, G24’s group chief executive, said Microsoft’s investment would help advance “our mission to deliver cutting-edge A.I. technologies at scale.”Credit...G42, via PRNewswire By Paul Mozur and David E. Sanger Paul Mozur reports on global technology and David E. Sanger reports on the White House. April 16, 2024Updated 2:18 p.m. ET Microsoft said on Tuesday that it would make a $1.5 billion investment in G42, an artificial intelligence giant in the United Arab Emirates, in a deal largely orchestrated by the Biden administration to box out China as Washington and Beijing battle over who will exercise technological influence in the Persian Gulf region and beyond. Under the partnership, Microsoft will give G42 permission to sell Microsoft services that use powerful A.I. chips, which are used to train and fine-tune generative A.I. models. In return, G42, which has been under scrutiny by Washington for its ties to China, will use Microsoft’s cloud services and accede to a security arrangement negotiated in detailed conversations with the U.S. government. It places a series of protections on the A.I. products shared with G42 and includes an agreement to strip Chinese gear out of G42’s operations, among other steps. “When it comes to emerging technology, you cannot be both in China’s camp and our camp,” said Gina Raimondo, the commerce secretary, who traveled twice to the Emirates to talk about security arrangements for this and other partnerships. The accord is highly unusual, Brad Smith, Microsoft’s president, said in an interview, reflecting the U.S. government’s extraordinary concern about protecting the intellectual property behind A.I. programs. Advertisement SKIP ADVERTISEMENT “The U.S. is quite naturally concerned that the most important technology is guarded by a trusted U.S. company,” said Mr. Smith, who will take a seat on G42’s board. The investment could help the United States push back against China’s rising influence in the gulf region. If the moves succeed, G42 will be brought into the U.S. fold and pare back its ties with China. The deal could also become a model for how U.S. firms leverage their technological leadership in A.I. to lure countries away from Chinese tech, while reaping huge financial awards. Subscribe to The Times to read as many articles as you like. Paul Mozur is the global technology correspondent for The Times, based in Taipei. Previously he wrote about technology and politics in Asia from Hong Kong, Shanghai and Seoul. More about Paul Mozur David E. Sanger covers the Biden administration and national security. He has been a Times journalist for more than four decades and has written several books on challenges to American national security. More about David E. Sanger Read 4 Comments * Share full article * * * 4 * Read in app Advertisement SKIP ADVERTISEMENT COMMENTS 4 Microsoft Makes High-Stakes Play in Tech Cold War With Emirati A.I. DealSkip to Comments Share your thoughts. The Times needs your voice. We welcome your on-topic commentary, criticism and expertise. Comments are moderated for civility. SITE INDEX SITE INFORMATION NAVIGATION * © 2024 The New York Times Company * NYTCo * Contact Us * Accessibility * Work with us * Advertise * T Brand Studio * Your Ad Choices * Privacy Policy * Terms of Service * Terms of Sale * Site Map * Canada * International * Help * Subscriptions Enjoy unlimited access to all of The Times. See subscription options