New US export controls will make it easier to ship computing accelerators to the Middle East

The US Commerce Department, as reported by Reuters, began the week by publishing a new export control rule that could theoretically ease the supply of computing accelerators to the Middle East, where they will be used to build new data centers.

Image source: NVIDIA

Since last October, U.S. exporters of compute accelerators have been required to obtain special licenses allowing them to ship cutting-edge compute accelerators to certain areas of the Middle East and Central Asia. Each batch required separate approval, which significantly complicated deliveries. Now, as Reuters explains, data centers that require US-origin computing accelerators will be able to obtain a license through confirmation of verified end-user status. In this case, a specific recipient will be able to stock up on accelerators without the need to separately approve each delivery.

The authorities of the regions in which the data processing centers are located will be able to assist their owners in obtaining the documents necessary for the United States. On the one hand, in the Middle East there are many people who want to develop the infrastructure of computing power for artificial intelligence systems. On the other hand, American authorities fear that through these channels, computing accelerators could get to China, where they are not supplied directly due to US sanctions.

In April, Microsoft announced its intentions to invest $1.5 billion in the capital of the UAE company G42, which plans to develop artificial intelligence systems in the region. It is generally accepted that through this deal, the United States bought the loyalty of the UAE in matters of AI development, and also warned the authorities of the Middle Eastern country against a potential rapprochement with China. To achieve Verified End User status, Middle East data centers will undergo a rigorous audit process. Information about potential customers of these data centers will be taken into account when issuing an export license. The number and type of accelerators provided to a specific data center will be determined by the American side.