OpenAI is taking the lead to establish an incredibly powerful 5-gigawatt data center hub in Abu Dhabi, as reported by Bloomberg. This positions OpenAI as a central player in what might become one of the most significant AI infrastructure undertakings in the globe.

The project, astonishing in its scale at 10 square miles, would utilize an energy equivalent to five nuclear power plants, overshadowing any AI infrastructures previously announced by OpenAI or its rivals. (For a sense of scale - it's larger than the whole of Monaco!)

This UAE venture, crafted together with G42, an Abu Dhabi-based tech conglomerate, is a part of OpenAI's grand Stargate project. This project, announced in January, includes partners like OpenAI, SoftBank, and Oracle and involves constructing gigantic data centers worldwide. These centers would be equipped with potent computer chips to fuel AI development.

While OpenAI's first Stargate campus in the U.S., located in Abilene, Texas is estimated to reach 1.2 gigawatts, its Middle Eastern cousin would multiply this capacity by more than four times.

The project is gaining momentum in the context of extensive AI collaborations between the U.S. and UAE, which have been brewing for some time. However, it has triggered some concerns among lawmakers.

OpenAI's ties with the UAE stem from a 2023 partnership with G42 centered on enhancing AI adoption in the Middle East. During a talk held the same year in Abu Dhabi, OpenAI CEO Sam Altman commended the UAE for being forward-thinking about AI "before it was cool."

US officials have expressed concern about the involvement of G42, which is led by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE's national security advisor and the ruler's younger brother.G42's affiliation with OpenAI has raised concerns that it would provide China's government access to cutting-edge American technology.

Analyses center around G42's ongoing associations with entities on the blacklist, such as Huawei and Beijing Genomics Institute. These close ties to figures related to China’s intelligence mechanisms raised concerns. Following U.S. lawmakers' objections, the CEO of G42 assured Bloomberg in 2024 that the company was reconsidering its strategy, and no physical China presence was needed.

Shortly after this, Microsoft, a considerable OpenAI stakeholder with a keen interest in the region, announced a hefty $1.5 billion investment in G42. This was followed by Microsoft's president, Brad Smith, joining G42’s board of directors.