"Is it necessary to isolated everyone?" Leads White House AI Head admits Biden's Gulf attempts faced setbacks
David Sacks, the White House cryptocurrency and artificial intelligence adviser, has publicly criticized the Biden administration’s approach to technology exports, particularly regarding the impact on Middle Eastern ambitions in artificial intelligence (AI).
During a round-table discussion at the Pennsylvania Energy and AI Summit, Sacks expressed concern about the Biden administration’s push to increase export controls on advanced processing units, such as GPUs and CPUs, which he believes has disproportionately affected U.S. allies in the Middle East, like the United Arab Emirates (UAE). Sacks argued that these restrictions are an “unwarranted burden” on partners who are not adversarial to U.S. interests.
Sacks also pointed out that these policies have effectively stifled Middle East technology aspirations, especially in AI, by limiting access to critical semiconductor technologies needed for advanced computing. He questioned the broader geopolitical wisdom of the approach, asking, “Do we have to alienate everybody?” Sacks emphasized that while the U.S. has hostile relations with Iran, it risks complicating partnerships with other Gulf states that are otherwise aligned with U.S. strategic interests.
Sacks contrasted the Biden-era restrictions with the Trump administration’s subsequent actions, such as the 5-gigawatt UAE-US AI campus partnership announced in May 2025, which included security guarantees to prevent misuse of U.S. technology. Sacks also dismissed concerns about chip smuggling to adversarial nations as overstated.
The debate occurs against the backdrop of heightened tensions in the region, with some former U.S. officials warning that building major AI infrastructure in the Gulf could expose it to Iranian threats, both from drones and missiles. This has led to calls for American tech companies to contribute financially to the defense of such infrastructure.
Khaldoon Al Mubarak, managing director and chief executive of UAE-based Mubadala Investment Company, highlighted Mubadala's push to have an AI member as a consultant on its investment committee. He mentioned the UAE's economic history, particularly the rise and fall of the pearl industry, as a compass in navigating its AI ambitions. Al Mubarak currently serves as chairman of the board of trustees at the Mohamed bin Zayed University of Artificial Intelligence (MBZUAI), which was established in 2019.
Nvidia, a vocal critic of export control policies under the Biden administration, announced it would soon be able to sell its Nvidia H20 GPU in China following meetings with Mr. Trump and other U.S. officials. This move signifies a shift in U.S.-China tech relations, as the Biden administration continues to grapple with balancing national security concerns with the desire to support allied technological development.
In summary, Sacks’s critique centers on the Biden administration’s AI export controls as a blunt instrument that has unnecessarily constrained Middle Eastern technology growth, particularly in AI, while failing to sufficiently distinguish between allies and strategic competitors. His comments highlight a significant tension in U.S. technology policy toward the region—balancing national security concerns with the desire to support allied technological development.
- David Sacks, the White House's cryptocurrency and artificial intelligence adviser, has critiqued the Biden administration's approach to technology exports, particularly regarding the impact on Middle Eastern ambitions in artificial intelligence, specifically in countries like the United Arab Emirates.
- Sacks expressed concern during a round-table discussion at the Pennsylvania Energy and AI Summit about the Biden administration’s push to increase export controls on advanced processing units, which he believes have disproportionately affected U.S. allies in the Middle East.
- Sacks argued that these restrictions are an "unwarranted burden" on partners who are not adversarial to U.S. interests and have effectively stifled Middle East technology aspirations, especially in AI, by limiting access to critical semiconductor technologies needed for advanced computing.
- The UAE's Mubadala Investment Company, led by Khaldoon Al Mubarak, is pushing for an AI member as a consultant on its investment committee, and Al Mubarak serves as chairman of the board of trustees at the Mohamed bin Zayed University of Artificial Intelligence.
- Nvidia, a tech company critical of the Biden administration's export control policies, announced it would soon be able to sell its Nvidia H20 GPU in China, signifying a shift in U.S.-China tech relations and raising questions about the administration's balance between national security concerns and supporting allied technological development.
- This debate over technology exports in the Middle East comes amid heightened tensions in the region, with concerns about building major AI infrastructure in the Gulf exposing it to Iranian threats, and calls for American tech companies to contribute financially to the defense of such infrastructure.
