Caught Between the US and China, a Powerful AI Upstart Chooses Sides

1. G42, a startup in Abu Dhabi, has grown into a major technology conglomerate over the past 6 years, with a diverse portfolio spanning large language models, genomics, and space technology.

2. G42 has established partnerships with major US tech companies like Amazon and OpenAI, and recently received a $1.5 billion investment from Microsoft.

3. G42’s chairman, Sheikh Tahnoon bin Zayed Al Nahyan, is a powerful figure in the UAE royal family and oversees G42 as part of his $1.5 trillion corporate empire.

4. There are concerns about G42’s connections to China, including partnerships with Chinese companies on COVID-19 testing and investments in Chinese startups like ByteDance.

5. U.S. officials worried G42’s relationships with Chinese firms could create backdoors for the Chinese government, especially as G42 expanded into cloud computing and semiconductors.

6. After pressure from the U.S. government, G42 announced it would divest its Chinese holdings and limit partnerships with Chinese tech companies.

7. The Microsoft investment was seen as a reward for G42 distancing itself from China and aligning more closely with the U.S.

8. G42 has ambitious plans to use AI to drive the UAE’s economic future, with divisions focused on data centers, cloud, predictive analytics, and even genomics.

9. G42’s use of Chinese genomics equipment caused issues with the U.S., leading the company to create a wall between Chinese and American staff working on different technologies.

10. Despite the challenges, G42 and its CEO Peng Xiao have emerged with more influence, with Xiao gaining seats on UAE AI and investment councils.