Abu Dhabi-based G42 is exploring the sale of a majority stake to U.S. companies, seeking to guarantee long-term access to advanced chips after its current export arrangement with the U.S. government expires in April 2027.
G42 functions as the UAE's primary vehicle for AI, cloud and data center infrastructure. Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's National Security Adviser, chairs the company.
U.S. export controls on advanced semiconductors have constrained G42's ability to scale. The firm depends on Nvidia and other American chipmakers to power its large-language models and data center operations. To address national security concerns, G42 divested China-linked holdings in 2024, including Huawei equipment and a stake in ByteDance.
Majority U.S. ownership would allow G42 to meet export control requirements and potentially qualify for a permanent supply arrangement beyond April 2027—or at minimum, renewability provisions that do not exist in current temporary arrangements.
Microsoft already holds a $1.5 billion minority stake and a board seat. Other investors include Silver Lake and Abu Dhabi's Mubadala Investment Co.
The U.S. and UAE have strengthened economic ties in recent years. The UAE has committed to $1.4 trillion in U.S. investments, a dynamic the Trump administration has cited in discussions over easing export restrictions.
Shiek Tahnoon's StringZ Holding owns 49 percent of President Trump's World Liberty Financial's WLTC Holdings, a connection that has drawn scrutiny regarding the potential sale.
G42 is currently building a 5-gigawatt AI data center in Abu Dhabi, supplied with Nvidia chips. The company has not finalized any deal and declined to comment on the discussions.
