Nvidia CEO Jensen Huang is reportedly growing frustrated as a multibillion-dollar deal between Nvidia Corporation (NASDAQ: NVDA) and the United Arab Emirates (UAE) faces unexpected delays. The agreement, which involves supplying the Gulf nation with advanced AI chips, has been stalled for months due to U.S. government concerns over the UAE’s close ties with China.
According to the Wall Street Journal and Yahoo Finance, the holdup has become a major source of tension for Jensen Huang, who has positioned Nvidia as the undisputed leader in the global AI chip market. The company, currently valued at $4.59 trillion, has seen its stock soar nearly 59% in the past year and rise another 36.6% in 2025, underscoring its dominance in the semiconductor industry.
U.S. Commerce Department Slows Approval Over China Links
At the center of the delay is U.S. Commerce Secretary Howard Lutnick, who has reportedly conditioned the export approval on the UAE finalizing promised investments in U.S. projects. The department is also said to be examining the Gulf nation’s close technological relationship with China, raising concerns about potential risks to U.S. national security and AI leadership.
The Nvidia-UAE deal, initially announced in May, was part of a broader strategy by the White House to strengthen America’s AI influence in the Middle East and counter Beijing’s growing reach in the region. However, the stalled progress has baffled both Nvidia executives and senior U.S. officials.
A White House spokesperson, Kush Desai, confirmed that AI Czar David Sacks and Secretary Lutnick are working together “to finalize key agreements that align with the President’s AI agenda and benefit the American people.”
Jensen Huang’s Frustration Grows Amid Global AI Race
Sources familiar with the matter say Jensen Huang and other Nvidia executives have expressed frustration over the slow pace of approvals. They view the deal as crucial not only for Nvidia’s growth but also for maintaining America’s technological edge against China.
While some senior Nvidia insiders have denied being alarmed, industry observers suggest that prolonged delays could disrupt Nvidia’s international strategy. “Huang has been a driving force behind the AI revolution,” one analyst said. “Any political or regulatory slowdown directly impacts Nvidia’s global positioning.”
Nvidia spokespersons have emphasized the company’s commitment to supporting U.S. government initiatives. In a statement to Benzinga, Nvidia said it “supports the Trump administration’s AI action plan, including Middle East collaborations,” and stands ready to “provide any assistance they need.”
Nvidia’s Market Power and Global Reach
Despite the geopolitical roadblocks, Nvidia’s market performance remains strong. With its AI chips powering everything from data centers to autonomous vehicles, the company continues to dominate the semiconductor landscape. Its rapid growth has made Jensen Huang one of the most influential figures in the global tech ecosystem, often referred to as “the architect of the AI era.”
Industry analysts note that while short-term delays in international deals are expected, Nvidia’s long-term trajectory remains bullish. The company’s leadership in AI hardware and software ecosystems provides a significant competitive moat, even amid tightening U.S. export controls.
The Bigger Picture: AI, Policy, and Power
This latest challenge underscores the growing intersection between AI innovation, global politics, and national security. As governments grapple with regulating AI technologies, corporate leaders like Jensen Huang find themselves navigating complex geopolitical landscapes. The stalled UAE deal illustrates how U.S. policy decisions can reshape the pace of global AI deployment.
For Nvidia, the stakes are high. Securing international partnerships like the UAE agreement could open access to lucrative new markets while reinforcing America’s dominance in next-generation computing. But with political scrutiny intensifying, even the world’s most powerful chipmaker must balance ambition with diplomacy.
As Jensen Huang continues to lead Nvidia through one of its most critical phases, the outcome of the UAE deal could signal how future U.S. AI export policies will evolve. While Nvidia’s stock remains resilient, the episode highlights the delicate balance between technological progress and international politics — a challenge likely to define the next chapter of the AI revolution.
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