Nvidia partners with Qatari telecom provider Ooredoo to bring advanced AI technology to the Middle East, marking a significant expansion amid US export restrictions.

Nvidia has reportedly reached an agreement to deploy its artificial intelligence (AI) technology in data centers owned by Ooredoo, a Qatari telecom group, across multiple countries in the Middle East. According to a June 24 Reuters report, this deal will enable Ooredoo to offer its clients direct access to Nvidia's AI and graphics technology, making it the first company in the region to do so.

Ooredoo has clients in several Middle Eastern countries, including Qatar, Algeria, Tunisia, Oman, Kuwait, and the Maldives. The agreement grants these clients access to Nvidia's technology, giving them a competitive advantage over their rivals for the next 18 to 24 months, according to Ooredoo CEO Aziz Aluthman Fakhroo. The specific Nvidia technology to be deployed has not been disclosed and will be determined based on customer demand and availability.

While the financial details of the deal remain undisclosed, Ooredoo plans to invest over $1 billion in its regional data center to expand its capacity by an additional 20-25 megawatts, in addition to the existing 40 megawatts. By the end of the decade, it aims to triple this capacity. Nvidia's technology will assist Ooredoo in deploying generative AI applications to better serve its clients.

This deal marks Nvidia's first major deployment in a region subject to export curbs imposed by the United States. These export curbs, extended to "some Middle Eastern countries" in August 2023, aim to prevent Chinese companies from accessing advanced AI technology through intermediary countries. Despite this, Nvidia has emerged as the world's most valuable publicly traded company in June, with a market capitalization of approximately $3.34 trillion, surpassing Microsoft and Apple.

Nvidia currently dominates the market for sophisticated AI semiconductor chips used in high-end data centers worldwide, supplying nearly 80% of such chips.