Key facts
- The UAE is revising plans for a 5-gigawatt AI data center project.
- The project, originally planned as a single campus in Abu Dhabi, may be spread across multiple UAE locations.
- Enhanced security measures, including air defenses and underground construction, are being considered.
- The UAE agreed to cut AI ties with China for access to U.S. technology and Nvidia AI chips.
- G42 leads the project, partnering with U.S. tech companies like OpenAI and Oracle.
- The first phase, a $30 billion, 1-gigawatt compute cluster called Stargate UAE, began construction last year.
The United Arab Emirates is reassessing its ambitious 5-gigawatt AI data center project, one of the largest outside the U.S., following recent Iranian attacks that prompted a review of critical infrastructure security. Originally planned as a single, large campus in Abu Dhabi, the project is now likely to be distributed across multiple locations within the UAE, according to sources familiar with the matter.
Authorities are also exploring enhanced protective measures, such as integrating air defense systems and constructing some facilities underground, to safeguard them from drone and missile threats. These potential modifications to the project's design have not been previously disclosed.
The UAE-US AI Campus is a cornerstone of the nation's strategy to diversify its economy away from oil and establish itself as a global AI hub. The project is led by G42, an AI firm overseen by Sheikh Tahnoun bin Zayed al Nahyan, the UAE's national security adviser and brother of the president. In exchange for access to advanced U.S. technology, including Nvidia AI chips, the UAE committed to severing AI ties with China and investing in U.S.-based data centers.
Construction on the initial phase, a $30 billion, 1-gigawatt compute cluster named Stargate UAE, commenced last year, with the first 200 megawatts expected to become operational this year. Oracle's chairman and chief technology officer, Larry Ellison, stated that upon completion, it will connect all UAE government agencies and commercial entities to leading AI models.
G42 acknowledged that project specifics undergo continuous review to meet security and resilience standards for critical infrastructure. OpenAI confirmed progress on infrastructure and adoption priorities to support the UAE's AI ambitions.
Emirati officials initiated the review of their AI infrastructure plans after Iran began launching missiles and drones at regional neighbors hosting American forces in retaliation for U.S. and Israeli actions against Iran. In March, two Amazon Web Services data centers in the UAE sustained damage from these attacks, and regional cloud computing services remain disrupted. In April, Iran's armed forces specifically identified Stargate UAE as a potential target in a warning video.
Sources confirmed the Stargate UAE site is located near Al Dhafra Air Base, which hosts U.S. troops and has been a target during recent conflicts. Daniel Benaim, a fellow at the Middle East Institute, commented that the ongoing conflict has created an "economic earthquake" for Gulf states, emphasizing the necessity of hardening critical infrastructure to reassure international partners and investors.