One of the fruitful results of the Middle East trip of Donald Trump is to establish an AI Park in UAE, making it the third AI center of the world, just after US and Taiwan. Because TSMC is now producing 91% of high end chips of the world, it is the most important AI center out of US, or the Chip-4 is known as US, Taiwan, South Korea and Japan. Now, a new star is born which is UAE.
Last week, Trump said that he would lift up the ban of chips. Some people thought should it be to China or Russia? No! Joe Biden divided the world into 3 classes. The first class has 18 countries which are best friend of US and can buy their chips freely, the last are Russia, China and North Korea which are under tight sanction. UAE and Middle East countries are in the middle class of limited sanction but now free at all.
US will establish an AI Park with the local firm G42, which is known as Silicon Valley of Middle East. They can import the latest chips from NVidia since 2025, the amount will be 500,000 within 3 to 5 years. Microsoft and Oracle will also take part as assistants. NVidia will be most benefitted, for all kinds of chips can be sent to UAE without any limitation. Meanwhile, they can develop a crippled version of H20 for use of China to have competition with Huawei, they can also establish a research center in China to know what kind of chips China needs so as to develop special chips for China to be within the sanction laws of US. Thus, NVDA is the second largest capitalization of the world now.
Some people afraid that when large amount of high end chips are exposed outside US, it has a great risk of intellectual property, that is people may steal or transfer it away easily. However, both the Senate and House are having proposal of an Act to install GPS system on all chips, if they are sent to places of sanction, it will be stop functioning at once. However, the Act is queueing up for debate and takes several months for Senate and House and then also need a combine version of both. After that still need some time for functioning, so it may take 6 to 12 months for installation before full action can be taken. So the coming year will be a live drama of cat chasing mouse around the world. Attractive!!!!