Microsoft's UAE Deal Could Transfer Key US AI Tech Abroad Amid National Security Concerns
Portfolio Pulse from Benzinga Neuro
Microsoft's deal with UAE-backed AI firm G42 may involve transferring advanced AI technology, raising national security concerns. The deal requires U.S. Department of Commerce approval and includes measures to prevent misuse by Chinese entities. Microsoft is investing $1.5 billion in G42, with President Brad Smith joining its board.
May 23, 2024 | 7:37 am
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Microsoft's deal with UAE's G42 involves a $1.5 billion investment and potential transfer of advanced AI technology, raising national security concerns. The deal requires U.S. Department of Commerce approval and includes measures to prevent misuse by Chinese entities.
The deal's potential to transfer advanced AI technology abroad raises significant national security concerns, which could impact regulatory approval and investor sentiment. However, the inclusion of safeguards and the strategic importance of the partnership may mitigate negative impacts.
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