Rumor has it that Trump will release the Middle East AI chip deal Nvidia (NVDA.US), which is expected to benefit

The Zhitong Finance App learned that, according to reports, Nvidia (NVDA.US) and other semiconductor companies became the focus of market attention on Tuesday as the Trump administration neared reaching an agreement with Middle Eastern companies to provide them with artificial intelligence (AI) chips.

According to reports, these agreements may be reached during Trump's visit to the Middle East this week, and will allow UAI-based G42 and the newly founded Humain to obtain artificial intelligence chips.

It is reported that earlier this week, Saudi Arabia's sovereign wealth fund, the Public Investment Fund (PIF), officially founded Humain, and the company will be wholly owned by PIF. Saudi Crown Prince and Prime Minister Mohammed bin Salman will chair the company's board of directors.

According to reports, the Trump administration is also about to approve a $9 billion memorandum of understanding signed by an American company with Saudi partners to extract and process certain minerals for advanced manufacturing, energy, and defense.

Earlier this month, it was reported that the Trump administration has been studying revisions to AI processor export controls to certain countries in the Middle East, including the UAE.

According to reports, in March of this year, UAE national security adviser Sheikh Tanon bin Zayed Al Nahyan asked Trump administration members to allow the country to buy more artificial intelligence accelerators from Nvidia and others.

During Sheikh Tanon's visit, the UAE promised to invest $1.4 trillion over 10 years in various fields in the US, including semiconductors, artificial intelligence infrastructure, energy, and US manufacturing.

In August 2023, the Biden administration restricted Nvidia and other companies from exporting advanced semiconductor products to some countries in the Middle East. Nvidia issued a warning about these restrictions in documents submitted to the US Securities and Exchange Commission.

Despite export controls, Nvidia said in September last year that it is cooperating with G42 to advance climate technology and use artificial intelligence to enhance global weather forecasting capabilities. The two companies also said they will establish a new operating base and climate technology laboratory in Abu Dhabi.

As of press time, Nvidia's stock price was up 1.4% in the premarket.