Microsoft plans to invest $1.5 billion in UAE-based artificial intelligence company G42, The New York Times reported on Tuesday.
G42 has begun a long process of divesting its investments in China and withdrawing Chinese hardware amid US concerns over its ties to Chinese companies.
Under the partnership, the G42 will use Microsoft's cloud services and agree to security agreements negotiated in detailed discussions with the U.S. government, the paper said.
The G42 will also be able to sell Microsoft services that use powerful AI chips.
The agreement provides a series of protections for AI products shared with G42, including an agreement to exclude Chinese equipment from UAE companies' operations, according to the NYT.
Microsoft President Brad Smith, who will serve on G42's board of directors, said, “The United States is understandably concerned that its most important technologies are protected by trusted American companies,” the newspaper reported. I told you.
Microsoft and G42 did not respond to Reuters requests for comment.
