US-China conflict | US lawmakers question Microsoft’s cooperation with UAE AI startups

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Republican members of the U.S. House of Representatives are concerned about Microsoft’s recently announced agreement with UAE artificial intelligence (AI) startup G42, fearing that the arrangement will eventually allow China to obtain advanced AI technology.

In April, Microsoft announced a cooperation agreement with G42 to develop AI computing models in the UAE; G42 had previously sold some of its investments in China. At the time, media reported that the US government facilitated the cooperation between Microsoft and G42 in exchange for the latter not cooperating with Chinese companies.

Republican House Foreign Affairs Committee Chairman Michael McCaul and House Special Committee on U.S.-China Strategic Competition Chairman John Moolenaar announced on Thursday that they had written to White House National Security Advisor Sullivan, asking him to hold a briefing to explain in detail the agreement between Microsoft and G42 and to evaluate the relationship between G42 and the Chinese Communist Party before deciding whether to provide G42 with advanced AI chips and AI models.

They are concerned that the UAE company has only superficially severed ties with China in order to obtain advanced American technology and then hand it over to China.

Microsoft responded that it would cooperate with the US government in handling relevant matters. G42 and the UAE did not respond to inquiries.

G42 previously had partnerships with Chinese companies including ByteDance, Sinopharm and BGO Genomics, which has been blacklisted by the United States.